Interim report January–September 2005

• Consolidated revenues during the first nine months of 2005 amounted to SEK 2,063.9 M (2,044.2). • Net earnings for the period January–September amounted to SEK 270.5 M (232.4). • Earnings per share before dilution for the period amounted to SEK 3.08 (2.66). • The Group’s operating margin rose to 18.6 percent (15.4). • Cash flow from operating activities improved to SEK 367.8 M (269.1).

January–September 2005: Revenues and Earnings Consolidated revenues during the period January– September amounted to SEK 2,063.9 M (2,044.2), due to which the first-quarter decrease has been recovered. The increase corresponds to the surplus generated during the period by Legal & Trade Collections (Ireland), now Intrum Justitia Collections (Ireland) Ltd. The effect of fluctuations in exchange rates was +1 percent, which is offset by a corresponding decrease for comparable units. The Group’s increased focus on Purchased Debt and Debt Surveillance has generated growth primarily in Finland, Portugal, Spain and Sweden. Switzerland is also growing through higher volumes in Commercial Collection. Lower volumes in Germany, Poland and the UK offset the Group’s growth. Operating earnings rose to SEK 383.3 M (315.6). Productivity has increased for a number of Group companies, which is generating further earnings and margin improvements. England and Germany implemented substantial cost costs during the period. Finland, Portugal and Spain have expanded their operations in Purchased Debt and are reporting improved earnings, which is offset by the weak Polish market for Purchased Debt. In Sweden, tax refunds in June and August contributed to higher revenues and earnings in Debt Surveillance. Improvements that began earlier with cost reductions in the Netherlands continued during the third quarter with the addition of new clients. Earnings before tax for the first nine months of the year rose to SEK 360.6 M (286.2), while net earnings amounted to SEK 270.5 M (232.4). July–September 2005: Revenues and Earnings Consolidated revenues during the third quarter amounted to SEK 705.0 M (681.9). Of the increase of slightly over 3 percent, currency effects accounted for the majority. Growth was good in Finland from collections of written-off receivables as well is in the Netherlands due to increased volumes from new clients in Consumer and Commercial Collection. A recovery has been noted in Italy, where volumes have risen. The tax refund received in August contributed to higher revenues in Sweden in Debt Surveillance. Revenues in Spain and Portugal have continued to develop positively, mainly from collections of written-off receivables. Revenues in the English operation decreased due to a lower caseload from current clients and a decline in allocation of cases. Operating earnings amounted to SEK 139.5 M (125.3), where the improvement is largely attributable to volume increases from new clients and old clients won back in the Netherlands and Italy, as well as in debt purchases in Finland. Earnings before tax for the quarter increased to SEK 132.4 M (116.8), while net earnings amounted to SEK 99.3 M (88.4). Geographic regions, July–September 2005 Sweden, Norway & Denmark The region’s third-quarter revenues amounted to SEK 169.7 M (161.0) and its operating earnings to SEK 51.7 M (50.0), as a result of scheduled measures in connection with Sweden’s annually paid out tax refund in August, which affected the Debt Surveillance service line positively despite that a portion was paid out in June for the first time. Volume gains in Denmark, where improved collection results contributed positively, raised regional revenues and earnings. United Kingdom & Ireland The region’s quarterly revenues amounted to SEK 79.1 M (104.7), which includes Intrum Justitia Collections (Ireland) Ltd. The operating deficit was SEK –3.5 M (6.2). In England, lower volumes from certain large clients in Consumer Collection & Debt Surveillance combined with a decline in new cases and postponed collection from acquired portfolios, have led to a revenue decrease. Cost cuts, mainly through a major staff reduction in the English subsidiary in 2004, have not fully compensated for the volume decrease. Netherlands, Belgium & Germany Third-quarter revenues amounted to SEK 148.4 M (143.3) with operating earnings of SEK 31.7 M (22.2). Operations in the Netherlands have continued to develop well, with higher volume in Consumer and Commercial Collection from new clients mainly in the telecom and utility sectors as well as in Purchased Debt. Revenues were affected negatively in Germany by previously terminated unprofitable contracts and lower volumes from key clients in the telecom sector. The earnings improvement is largely due to volume increases in the Netherlands and cost savings in Germany and the Netherlands. Switzerland, Austria & Italy The region’s quarterly revenues amounted to SEK 95.8 M (85.5) with operating earnings of SEK 18.4 M (13.0). The revenue increase is mainly due to a positive volume trend in Italy from customers that have been won back, which also accounts for the large share of the region’s earnings improvement. Switzerland continued its positive trend, mainly from telecom and media clients in Commercial Collection as well as in Purchased Debt. Finland, Estonia, Latvia & Lithuania Revenues for the report period amounted to SEK 86.3 M (73.9) with operating earnings of SEK 35.2 M (26.3). Continued high activity in Purchased Debt in Finland, with purchases of portfolios from clients in the banking and telecom sectors, improved regional revenues and earnings. New laws regulating debtor fees have had a marginally negative effect, which has been offset by a higher collection rate thanks to improved scoring processes. France, Spain & Portugal The region’s revenues for the third quarter of 2005 amounted to SEK 87.2 M (72.0) with operating earnings of SEK 14.0 M (11.0). Regional growth is mainly attributable to Portugal and Spain, where volumes have increased from new media clients and continued to grow from current clients in the telecom and banking sectors. A large debt portfolio was acquired in Spain last year, which positively contributed to revenues and earnings. Poland, Czech Republic & Hungary Quarterly revenues amounted to SEK 38.5 M (41.5) with operating earnings of SEK 5.2 M (10.1). The Polish company continues to be affected by low activity in Purchased Debt. Substantial cost cuts have not fully offset the volume decline. Positive development in the Czech Republic and Hungary has contributed to regional revenues and earnings. The Slovakian company Creditexpress, now Intrum Justitia Slovakia s.r.o., is consolidated from the second quarter and has had a marginally positive impact on regional revenues and earnings. Since April 2003 there is a 40% minority interest in the region’s companies. Purchased Debt service line Service line revenues amounted to SEK 62.0 M (67.5) in the third quarter. Earnings amounted to SEK 15.2 M (23.8) after commissions paid to collection subsidiaries. The decline in revenues and earnings is due to England, where collections from acquired portfolios have been postponed, and Poland, where acquisition volumes decreased. Countries such as Finland, the Netherlands, Portugal, Spain and Sweden contributed positively to the service line’s development. In accordance with IFRS, Intrum Justitia applies an accounting model where the book value of each debt portfolio, and therefore quarterly earnings, is based on an estimate of future cash flows updated quarterly. This estimate for the third quarter has not had any impact on operating earnings. The Group’s conscientious focus and increased resources for this service line continued in the third quarter. Investments in portfolios during the period January–September 2005 amounted to SEK 625.9 M, against SEK 228.8 M in the corresponding period a year earlier. Expenses A higher efficiency in productivity in several countries contributed to a higher gross profit margin, 41.2 percent (40.9) in the third quarter. Sales and marketing expenses were lower, which was partly offset by temporarily higher administrative expenses compared with the previous year. The Group's focus on costs has helped it to maintain cost controls in a number of countries. Depreciation Quarterly operating earnings were charged with depreciation of SEK 20.7 M (24.4). Operating earnings before depreciation therefore amounted to SEK 160.2 M (149.7). Operating earnings before depreciation for the first nine months were SEK 449.2 M (390.6). Expenses for incentive program Operating earnings for the first nine months were charged with SEK 5.6 M (3.1) for warrants for the Group's Employee Stock Option Program 2003/2009. Of this amount, SEK 1.9 M (1.9) was reported in the third quarter. The expense does not represent an actual disbursement by the company. The Employee Stock Option Program comprises warrants to subscribe for 3,358,250 shares. The dilution effect during the first nine months of 2005, calculated according to IAS 33 Earnings per share, corresponds to 557,818 shares. The Employee Stock Option Program did not dilute earnings for the full year 2004 since the share’s average market value was less than the present value of the option premium. The warrants were allotted in May 2004. Net Financial Items The third quarter’s lower net financial expenses of SEK 7.1 M, against an expense of SEK 8.5 M in the corresponding period of 2004, is due to lower market interest rates, better loan conditions and a lower debt level. Cash Flow and Investments Cash flow from operating activities amounted to SEK 367.8 M during the period January–September, compared to SEK 269.1 M for the corresponding period of 2004. During the third quarter the Group invested SEK 371.7 M in 30 debt portfolios. The largest portfolios were acquired from clients in the banking and telecom sectors in Portugal, Spain and Switzerland. Financing Net debt as of September 30, 2005 amounted to SEK 681.9 M (before redemption of C shares), to be compared with SEK 480.2 M at year-end 2004. Shareholders’ equity including the minority share amounted to SEK 1,832.5 M (before redemption of C shares), compared with SEK 1,531.0 M on December 31, 2004. As of September 30, 2005 the Group had liquid assets of SEK 202.0 M, against SEK 338.3 M on December 31, 2004. On September 30, 2005 unutilized credit facilities amounted to SEK 1,169.0 M. The corresponding figure on December 31, 2004 was SEK 385.8 M. Goodwill Consolidated goodwill amounted to SEK 1,565.2 M, against SEK 1,505.8 M at year-end 2004. The change during the period is due to fluctuating exchange rates. All goodwill in the Group was tested for impairment at year-end 2004. In the quarterly financial statements these tests were updated, but showed no need for write-downs. Human Resources The average number of employees during the nine-month period was 2,863 (2,915). The number of employees decreased mainly in the English subsidiary, while more staff was added in Spain to handle previously outsourced operations. Parent Company The operations of the publicly listed parent company, Intrum Justitia AB (publ), covers the ownership of the subsidiaries, providing the Group’s head office functions, and handling certain Group-wide development, services and marketing activities. The parent company had revenues of SEK 34.7 M (36.9) and reported earnings before tax of SEK 7.2 M (–42.3). The parent company invested SEK 0.7 M (0.5) in fixed assets during the nine-month period and had liquid assets of SEK 0.0 M (0.0) as of September 30. The average number of employees was 22 (21). Highlights After Closing Date The share redemption program approved by the Annual and Extraordinary General Meetings in the spring of 2005 has now been completed. Shareholders were offered the opportunity to redeem every twelfth share they owned for SEK 84. In total, 7,029,353 shares were tendered for redemption, corresponding to an acceptance rate of 99.25 percent. The redemption proceeds were paid out at the end of June 2005. In mid-October Intrum Justitia received court approval to reduce the share capital by redeeming the newly issued series C shares and to reduce the share premium reserve. After the reduction on October 14, 2005, Intrum Justitia AB’s share capital amounts to SEK 1,559,125.02 SEK distributed among 77,956,251 shares. Based on the balance sheet as of September 30, 2005, the Group’s calculated net debt after redemption amounts to SEK 1,272.9 M, and an increase of debt/equity ratio to 1.03. Nomination Committee The Annual General Meeting on April 27, 2005 decided to assign the Chairman of the Board to form a Nomination Committee at the conclusion of the third quarter by convening the five largest shareholders in the company. Following a contact with the company’s five largest shareholders, four of these have nominated the following members: • Björn Fröling, Parkerhouse Investment (10.4 percent of capital and votes); • Christer Gardell, Cevian Capital, (10.1 percent of capital and votes); • Göran Espelund, Lannebo fonder, (5.6 percent of capital and votes); and • Adam Gerge, Didner & Gerge, (4.9 percent of capital and votes). As soon as the fifth shareholder has nominated its representative, particulars will be announced via a press release. Shareholders are welcome to submit their proposals and views to the Committee by December 1, 2005 by e-mail to agm@intrum.com. The proposal of the Nomination Committee will be presented in the notice of the Annual General Meeting 2006 and on the company's website. Annual General Meeting 2006 The Annual General Meeting will be held at 4 p.m. CET on Tuesday, April 25, 2006 at World Trade Center, Stockholm. The Intrum Justitia Share Intrum Justitia’s market capitalization as of September 30, 2005 was SEK 5,437 M based on the number of shares after the redemption of C shares. During the period January–September 2005 the share rose by 36 percent. The number of shareholders as of September 30, 2005 was 4,155 (3,933). Accounting Principles This is the Intrum Justitia Group’s third interim report according to the International Financial Reporting Standards (IFRS). In accordance with the requirements in the Swedish Financial Accounting Standards Council's recommendation RR 31 Interim reports for groups, the interim report for the Group is prepared according to IAS 34 Interim Financial Reporting. The accounting principles applied in the interim report are described in the Annual Report for 2004 in Note 1 as well as in Note 36 with regard to changes in connection with the introduction of IFRS. Although Intrum Justitia began reporting according to IFRS in 2005, the comparative figures for 2004 are restated to IFRS, so January 1, 2004 is considered Intrum Justitia’s transition date to IFRS. A reconciliation of the estimated effects of IFRS on the consolidated income statement and balance sheet for the first nine months and full year 2004, including the effect on deferred tax, is provided in the attachment. The figures in the balance sheet have been adjusted relative to the information in the annual report on the basis of new information. The description of the effects of IFRS and amounts are still preliminary and may change if the IFRS recommendations or their interpretation change during the year. Consolidation and Goodwill As of 2004 the acquisition cost of an acquired subsidiary is eliminated against the net of the market value of the subsidiary's assets and liabilities, including intangible assets such as client relations, cases in progress and internally developed brands. If the market values identified do not correspond to the acquisition cost, goodwill arises. Negative goodwill is not reported, but in such cases is charged against earnings immediately after acquisition. Goodwill is not amortized but is tested for impairment, whereupon the estimated future cash flows from the cash-generating unit are discounted by an interest rate corresponding to the Group's weighted average cost of capital. If the present value less sales expenses calculated in this manner is less than the net book value of the cash-generating unit’s assets and liabilities, goodwill is written down. Financial Assets and Liabilities Intrum Justitia reports financial instruments, including foreign exchange contracts and other derivatives, at fair value. Any changes in fair value are reported in the income statement. At present hedge accounting is not applied. Purchased Debt Purchased debt consists of portfolios of overdue consumer receivables purchased at significantly below their nominal value. Purchased debt is reported according to an effective interest rate method, where the book value of each portfolio corresponds to the present value of all estimated future cash flows discounted by an effective interest rate determined when the portfolio is purchased, based on the relationship between the acquisition cost and estimated future cash flows at the time of acquisition. Changes in the book value of the portfolios are reported in the income statement on the revenue line. Employee Stock Option Program The Annual General Meeting in 2003 approved the adoption of Employee Stock Option Program 2003/2009. Warrants were allocated in May 2004. The theoretical value of the warrants on the date of issue, calculated according to the Black-Scholes model, is accrued over the vesting period (May 2004–December 2006), i.e., the period during which the conditions necessary to exercise the warrants will be met. Reporting Dates The Full Year Report for 2005 will be published on February 15, 2006. The Interim Report for the first quarter (January–March) 2006 will be published on April 25, 2006. Stockholm, October 26, 2005 Intrum Justitia AB (publ) Jan Roxendal President & Chief Executive Officer This Interim Report has not been reviewed by the company’s auditors. This Interim Report and other financial information are available at Intrum Justitia’s website: www.intrum.com Denna delårsrapport finns även på svenska. Presentation of the Interim Report This Interim Report and presentation material are available at www.intrum.com > Investors. President & CEO Jan Roxendal and CFO Bo Askvik will comment on the report on a telephone conference today at 10:00 a.m. CET. To participate by telephone, call +44 207 162 0080. A recorded version will be available through October 31, 2005 by telephone +44 207 031 4064, using the code 679 285. For further information, please contact: Jan Roxendal, President & CEO Tel: +46 8 546 10 200 Bo Askvik, Chief Financial Officer Tel: +46 8 546 10 200 Anders Antonsson, Investor Relations Tel: +46 8 546 10 206, mobile: +46 703 36 78 18

About Us

Intrum Justitia is Europe’s leading Credit Management Services (CMS) group, offering comprehensive services, including purchase of receivables, designed to measurably improve clients’ cash flows and long-term profitability. Founded in 1923, Intrum Justitia has some 3,850 employees in 19 markets. Consolidated revenues amounted to about SEK 5.6 billion in 2015. Intrum Justitia AB is listed on Nasdaq Stockholm since 2002. For further information, please visit www.intrum.com

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