Frontec Annual General Meeting

Frontec Annual General Meeting The Annual General Meeting of Frontec shareholders held today voted to adopt the proposal submitted by the board for a directed new issue of promissory notes coupled with options for a new subscription of shares. The option programme will be aimed at certain sections of employees in the group. Similar programmes have been implemented in previous years. This programme forms part of the Frontec Group's HRD scheme, which is believed to be of great benefit for the long-term development of the group. If the issue is fully subscribed and utilised, the dilution effect will be the equivalent of 1.7% of share capital and 0.7% of votes. The Meeting also decided to authorise the board to meet on one or more occasions up until the next AGM in order to reach a decision concerning the new issue of a total of 1 500 000 series B shares. The purpose of this authorisation is to facilitate rapid company acquisitions. It is assumed that the issue will take place under the same market criteria, which have generally applied during similar share issues. Olof Englund was pleased that decisions concerning these programmes had been reached. Frontec is now well positioned to offer employees competitive terms, retain a skilled workforce and attract new staff to the group. Being in a position to rapidly complete company acquisitions is another important way of obtaining skilled personnel and continued expansion, something that the acquisitions of 1998 illustrate particularly well. Jan Westlund, Magnus Wahlbäck, Sune Fogelström, Bengt Wallentin, Olof Englund and Leif Rylander were all re-elected as board members by the Meeting, which also elected Ann Nilsson as a new regular member of the board. Göran Tuvstedt and Christer Wåhlander were re-elected as deputies. Ann Nilsson is MD of Watson Wyatt AB, a global consultancy company specialising in the combined personnel and financial sector. Prior to her appointment to her current position, Ann had been the Personnel Director and Business Area Manager of Human Resources at Siemens Nixdorf Informationssystem AB and has also held managerial positions at Digital and Apoteksbolaget. Per-Eric Sanborn and Bo Lundh were earlier appointed as staff representatives with Mats Olausson and Margareta Ossbahr as their deputies. The Meeting also approved the decision of Frontec Affärssystem AB to issue subordinated debentures with separable options to two group employees. If fully utilised, these newly subscribed shares will represent of 8.5% of capital and votes in the wholly owned subsidiary. the decision of Arctic Inc. to issue call options to employees and key players at Software-AMT. This issue comprises just over 10 million call options with a subscription period of four years. The call options are offered according to market criteria. If fully utilised, the stake Frontec AB holds in Artic Inc. will reduce from 71% at present to 56%. Bertil Edlund and Hans Jacobsson were re-elected as auditors, with Bodil Björk and Pål Wingren acting as their deputies. All four come from Öhrlings PricewaterhouseCoopers. The final decision taken by the Meeting was that no dividends would be paid out for the 1998 financial year. For more information: Carl-Erland Schröder, tel: +46 8 470 22 62. ------------------------------------------------------------ Please visit http://www.bit.se for further information The following files are available for download: http://www.bit.se/bitonline/1999/05/20/19990520BIT00270/bit0001.doc http://www.bit.se/bitonline/1999/05/20/19990520BIT00270/bit0002.pdf