Interim report January - September 2003 for the Scribona Group

Interim report January - September 2003 for the Scribona Group Scribona reports positive operating income in a market with heavy price pressure · Sales for the first nine months reached MSEK 8,168 (9,181) and third quarter sales amounted to MSEK 2,357 (2,617). The decrease is mainly due to lower market prices. · Operating income for the first nine months amounted to MSEK -38 (1) and the loss after tax to MSEK -50 (-20). Operating income for the third quarter totaled MSEK 1 (-19) and the loss after tax was MSEK -5 (- 20). Strong sales in September generated positive earnings during the quarter. · Earnings per share for the first nine months amounted to SEK - 0.98 (-0.39). For the third quarter, earnings per share reached SEK - 0.10 (-0.39). · According to IDC, the PC market has continued to grow in units sold. Scribona has defended its market shares. · Decision to wind up the Toshiba Digital Media division. The wind-up will be completed during the fourth quarter and is expected to boost annual income by SEK 15 million. · Comments from CEO Tom Ekevall Larsen - It is satisfying to see that the quarter generated positive operating income despite a very weak start and a drop in sales compared with the previous year. Gross margins improved in all business areas at the same time that our internal efficiency programs yielded cost savings. - The PC market showed growth in units sold, although the year's severe price pressure reduced market prices by around 19% compared with the previous year. The contributing factors were a weaker US dollar and fierce competition between PC manufacturers. In this turbulent market, we succeeded in maintaining our strong position and defending our market shares. - After persistent profitability problems in the agency business for Toshiba's laptop computers, a decision was made in August to wind up these operations. The wind-up will affect 45 employees and is expected to be completed during the current year. However, Scribona will continue to function as a distributor of Toshiba computers. Operations in Toshiba Document Solutions (document management products) will not be affected. Address: Scribona AB Sundbybergsvägen 1 Box 1374 SE-171 27 SOLNA Telephone +46 (0)8-734 34 00 Fax +46 (0)8-82 85 71 e-mail info@scribona.com The company's registered office is located in Solna, Sweden. This report is also available at www.scribona.com For additional information, contact: Tom Ekevall Larsen, President & CEO, telephone +46 (0)8-734 36 50 Örjan Rebeling, Executive Vice President, Chief Financial Officer, telephone +46 (0)8-734 34 88 ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2003/10/30/20031030BIT01080/wkr0001.doc The full report http://www.waymaker.net/bitonline/2003/10/30/20031030BIT01080/wkr0002.pdf The full report