REPORT FOR THE SECOND QUARTER 2011 AND THE FIRST HALF YEAR 2011

Highlights 2Q 11:

Financial information

The operating result (EBIT) which mainly reflects the holding company costs, was negative NOK 8.4 million (negative NOK 7.6 million). All significant share holdings have been consolidated as associates. Consequently, the parent company is a pure holding company.

Net result from associates accounted for using the equity method, was NOK 170 million (negative NOK 7 million) in the quarter. The net result comprises share of results from Fred. Olsen Energy ASA (FOE) of NOK 158 million (NOK 141 million), from Fred. Olsen Production ASA (FOP) of negative NOK 1 million (negative NOK 35 million) and the cross ownership contribution from Bonheur ASA of NOK 26 million (NOK 0 million). Further the share of result from the cruise activities was NOK 13 million (negative NOK 17 million), from First Olsen Ltd (tankers) negative NOK 4 million (negative NOK 2 million) and from Fred. Olsen Renewables with subsidiaries negative NOK 14 million (negative NOK 31 million).

Net financial items were in the quarter negative NOK 18 million (positive NOK 15 million). The decrease in net financial items is mainly due to higher foreign exchange losses and higher interest expenses compared to the same quarter last year.

Net result before tax in the quarter was NOK 144 million (NOK 0 million). Net result after estimated tax in the quarter was NOK 148 million (negative NOK 1 million).

EBIT year to date were negative NOK 19 million (negative NOK 17 million). Net result from associates accounted for using the equity method was NOK 287 million (NOK 17 million) year to date. Net financial items year to date were negative NOK 47 million (positive NOK 16 million), and net result after tax year to date was NOK 240 million (NOK 16 million).