HEMTEX SECOND-QUARTER REPORT, MAY 1, 2006 – OCTOBER 31, 2006

Continued successful store expansion

Six months (May 2006–October 2006)

• Net sales amounted to SEK 646.6 M (526.0), up 23% from the year-earlier period. The increase for the Group’s comparable stores was 3% (10).

• Profit after tax totaled SEK 65.6 M (52.7). Earnings per share before dilution rose to SEK 2.34 (1.97).

• The Group acquired 17 franchise stores in the Hemtex chain and established 16 new stores.

Second quarter (August 2006–October 2006)

• Net sales amounted to SEK 346.9 M (281.8), up 23% from the year-earlier period. The increase for the Group’s comparable stores was 6% (6).

• Profit after tax amounted to SEK 34.3 M (24.6). Earnings per share before dilution rose to SEK 1.23 (0.91).

• The Group acquired 14 franchise stores in the Hemtex chain and established 13 new stores.