Skanska reduces overhead costs

Skanska reduces overhead costs During the year, Skanska has continuously reviewed the Group's selling and administrative expenses, with the aim of adapting these costs to current market conditions. The costs of the cutbacks in 2003 have been continuously charged to the earnings of the business units where the actions have been taken. It is expected that the measures undertaken in 2003 will result in a 5 to 7 percent reduction of the Group's overhead costs for comparable units for full-year 2004. This corresponds to a cost reduction in the range of SEK 500 M. For the fourth quarter of 2003, the review will result in a reduction in headcount corresponding to about 300 employees and restructuring costs of about SEK 225 M. These costs will be charged to the earnings for the fourth quarter and the employees will leave the company during 2004. The business units affected by the measures in the fourth quarter are Skanska Norway (formerly Selmer Skanska), Skanska Sweden and Skanska UK. In addition, the support unit Skanska Teknik and Skanska Russia (formerly a part of business unit Skanska OY) will also be affected. "By implementing these measures, we have adjusted our selling and administrative expenses to current operations and volume in the markets throughout the world where we are active. This is an important step for us in achieving our goal of a 2.5 percent operating margin in construction operations," says Hans Biörck, CFO, Skanska AB. For further information, please contact: Peter Gimbe, Press Officer, Skanska AB, tel +46 8 753 88 38 Anders Lilja, Senior Vice President, Investor Relations, Skanska AB, tel +46 8 753 88 01 This and previous releases can also be found at www.skanska.com ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2003/12/19/20031219BIT20050/wkr0006.pdf PDF

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Skanska is one of the world’s leading project development and construction groups with expertise in construction, development of commercial and residential premises, and public-private partnerships projects. Based on its global green experience, Skanska aims to be the clients' first choice for Green solutions. The Group currently has 41,000 employees in selected home markets in Europe and North America. Skanska's sales in 2016 totaled SEK 151 billion.

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