2005 INTERIM REPORT KONGSBERG AUTOMOTIVE HOLDING

Key points * Continued growth in revenues year over year by 15,4 %, despite price reductions and decline in car production both in Europe and North America and a decline in volumes for heavy trucks in last half of 2005. * Excluding one-off effects(1) in Q2 2004 and Q3 2005 the year over year growth in EBITA is 5,9 % and in Net Profit 23,7 %. * The share price was at the end of 2005 4,8 % higher than the IPO value. As of 25th of January it is 14,1 %. * Operations running according to internal plans. * Actions taken to prepare for a weaker market in 2006 - and growth in 2007. * Further strengthening of the Asian organization to meet new opportunities. * New important orders won for Head Restraints in the North American market and for Seat Comfort products in Asia. * Continuously high R&D and marketing activities. * Purchase cost has overall been reduced on comparable portfolio despite significant increased prices on raw materials. (1)One-off effect of 22,4 mill recorded as financial expenses in 3rd quarter 2005 related to cost for the IPO process. One-off effects in 2nd quarter of 2004 are a cost reduction effect from change of pension scheme (14,2 mill) recorded under salary and social expenses, and Badwill from the acquisition of Raufoss United (69,7) which are recorded as income on the amortization line. These effects are both related to CVS (Commercial Vehicle Systems). Attachment on www.newsweb.no