Year-End Report Axfood AB (publ)

FOURTH QUARTER SUMMARY

- Axfood's consolidated sales for the period October–December totalled SEK 8,885 m (8,431), an increase of 5.4%.

- Retail sales for Group-owned stores rose 3.9% during the period. Like-for-like sales rose 1.6%.

- Operating profit for the period was SEK 321 m (290).

- Profit after financial items for the period was SEK 310 m (278).

- Profit after tax for the period was SEK 227 m (200), and earnings per share were SEK 4.32 (3.83).

- The Board of Directors proposes a dividend of SEK 12 (10) per share.

- On 1 October, Axfood Närlivs took over ownership of the cold storage distribution centre in Stockholm that was acquired from Reitan Servicehandel.

- Anne Rhenman Eklund was appointed as new Head of Corporate Communications.

- Axfood's goal for 2011 is to achieve an operating profit at least at the same level as in 2010.

For further information, please contact:
Anders Strålman, President and CEO, mobile +46-70-293 16 93.
Karin Hygrell-Jonsson, CFO, mobile +46-70-662 69 70.
Anne Rhenman-Eklund, Head of Corporate Communications, +46-8-553 998 13, mobile +46-70-280 64 59.

Axfood AB conducts food retail and wholesale business in Sweden. Retail business is conducted through the wholly owned store chains Willys, Hemköp and PrisXtra, comprising 231 stores in all. In addition, Axfood collaborates with a number of proprietor-run stores that are tied to Axfood through agreements. These include stores within the Hemköp and Willys chains as well as stores run under the Handlar’n and Tempo profiles. In all, Axfood collaborates with approximately 840 proprietor-run stores. Wholesaling is conducted through Dagab and Axfood Närlivs. Axfood is listed on Nasdaq OMX Stockholm AB's Large Cap list. Axel Johnson AB is the principal owner, with approximately 46% of the shares.