Year-end report January - December 2005

Improved earnings and new acquisitions

• Bong continued its positive earnings trend in the fourth quarter with a profit before tax of SEK 14 (11) million. • Adjusted profit before tax for the full year increased to SEK 42 (17) million. Including one-time items, profit after tax was SEK 23 (52) million. Earnings per share after dilution were SEK 1.97 (0.99). • Net sales for the fourth quarter increased to SEK 470 (455) million. For the full year, net sales amounted to SEK 1,782 (1,807) million. • Fourth quarter cash flow was strong at SEK 36 (12) million. Cash flow for the full year totalled SEK 106 (77) million. • In December, Bong signed an agreement to acquire German-based RCT Kuvert with annual sales of approximately SEK 250 million and an annual production volume of around 3 billion envelopes. The acquisition of RCT will boost Bong’s sales by around 15 per cent, generate productivity gains and enable Bong to postpone replacement investments into the future. • After the end of the period Bong signed an agreement to acquire the American office supply company SMEAD’s envelope factory in Estonia. Among other things, the new unit will provide support for Bong’s fast-growing Baltic sales company and increase competitiveness in consumer-packaged envelopes.