IBS proposes share split, issue of new shares and of two employee warrants progr.

IBS proposes share split, issue of new shares and of two employee warrants programs Based on a positive view on IBS' future development, the IBS Board of Directors has made the following decisions: 1. To propose to the Annual General Meeting (AGM), that the IBS share be split into five new shares for every old share. The nominal share value will thereby be altered from SEK 1 to SEK 0.2. 2. To offer, in accordance with current authorisation from the AGM, a maximum of 500,000 new B shares at market value for further sale to larger institutions. Corporate Finance advisor in this transaction is D. Carnegie AB. The exact pricing and timing of such transaction is to be decided after consultations with Carnegie. 3. To propose to the AGM, that the warrants program 1997/2000 with its 500,000 warrants, that will expire this summer, be replaced by a new warrants program aimed at senior and middle management within the Group. The new program is suggested to qualify subscription to a further 1,000,000 shares (before split). The suggested strike price is 50% above the average share price during the period 5 June to 16 June, 2000. The warrants are to be sold to management at market price. The duration of the program is four years. Following a share issue as outlined in item 2 above, and with a likely full subscription based on the 1997/2000 program, IBS will have 15.8 million shares (before split). After a positive AGM decision, two warrants programs will be running, totalling 2,000,000 warrants (before split). Following full subscription from these two programs, there would thus be 17.8 million shares (before split), a maximum dilution of 13%. 4. To propose that the AGM approves the issue of 1,000 warrants in the subsidiary IBS NetCommerce, representing a maximum dilution of Parent Company ownership from 100% to 80%. Such warrants shall be sold on market terms to senior management within this Internet consultancy company. IBS NetCommerce operations, which only cover Sweden, represent a maximum of some 5% of total Group operations. In anticipation of future expansion, these actions will strengthen the capital base of the Group and broaden institutional ownership. Key persons within the Group will be offered a fair interest in the Parent Company and in the important and expansive Internet operations. IBS AB, with headquarters in Stockholm, is listed at the Stockholm Stock Exchange. The IBS Group is a world-leading international supplier of Internet-integrated business systems and professional services. IBS, with some SEK 3bn in revenue, has 2,400 employees and 5,000 customers in more than 40 countries. For more information, please contact: Staffan Ahlberg, CEO, Björn Bontin, CFO, IBS IBS Tel: +46 8 627 24 20, or Tel: +46 8 627 24 02 or +46 70 627 24 20 +46 70 627 24 02 e-mail: e-mail: staffan.ahlberg@ibs.se bjorn.bontin@ibs.se ------------------------------------------------------------ Please visit http://www.bit.se for further information The following files are available for download: http://www.bit.se/bitonline/2000/03/17/20000317BIT00140/bit0001.doc http://www.bit.se/bitonline/2000/03/17/20000317BIT00140/bit0002.pdf