Interim Report, January-March 2005

• Inflow of orders: SEK 1,835 million (1,943) • Net sales: SEK 1,621 million (1,709) • Net earnings: SEK -16 million (5) • Earnings per share: SEK -0.53 (0.16) • Weak trend for Garage field within Cardo Door • Peter Aru new President and CEO of Cardo as of April 21 2005 The Group’s inflow of orders amounted to SEK 1,835 million (1,943), a decrease of 4 percent after adjustment for the effects of exchange rate movements. At Cardo Door, the inflow of orders was lower for all product areas except service. For Cardo Pump too, the inflow of orders decreased, despite the fact that the trend in wastewater and water treatment applications remained good. Net sales amounted to SEK 1,621 million (1,709). Adjusted for the effects of exchange rate movements, this is a decrease of 4 percent. Operating earnings amounted to SEK -10 million (27). The lower earnings are mainly due to a weak trend for the Garage field. The impact of exchange rate movements on operating earnings was only marginal. Apart from in the Garage field, it was in the main possible to compensate for higher raw-material prices by raising product prices. Net earnings amounted to SEK -16 million (5), which is equivalent to SEK -0.53 (0.16) per share. Cash flow from operations was SEK 50 million (116) after tax, which is equivalent to SEK 1.67 (3.87) per share. New President and CEO On April 21 2005, Peter Aru was appointed new President and CEO of Cardo. Since January 2004, Peter Aru has been head of the Pump field within Cardo Pump. Before that, he was president of Besam, which operates in the field of automatic door systems. From 1993-1997 he was marketing manager in Cardo’s business area Cardo Door. The cost of terminating the previous President and CEO amounts to approximately SEK 14 million and will be charged to Group earnings for the second quarter this year. The cost relates to salary, social security contributions and pension costs. For further information, please contact: Peter Aru, President and CEO, phone +46 40 35 04 53, +46 40 35 04 00 Göran Axeheim, Executive Vice President and CFO, phone +46 40 35 04 42, +46 40 35 04 00 Christer Roskvist, Head of Public Relations, phone +46 40 35 04 25, +46 40 35 04 00