New Wave Group AB appeals decision regarding increased tax assessment

In spring 2007, a tax audit was started within New Wave Group AB. The audit has primarily been focused on intra-group transactions. The Tax Authority has today decided to increase New Wave Group AB’s tax assessment with 437,400 SEK for the financial year 2005, with 55,922,774 SEK for the financial year 2006 and with 63,697,322 SEK for the financial year 2007. Of these amounts a total of 118,697,096 SEK relates to royalties for trademarks that the Group's subsidiaries have used, which the Tax Authority believes that New Wave Group AB shall obtain. The tax decision results in additional tax of totally 33,768,462 SEK including tax penalty fees (171,460 kr regarding the financial year 2005, 15,761,752 regarding the financial year 2006 and 17,835,250 regarding the financial year 2007). Of the additional tax of totally 33,768,462 SEK, 33,235,186 SEK relates to the royalty issue.

New Wave Group AB will appeal the tax decision related to the royalty issue, but the company has not yet taken a position on whether other parts of the decision will be appealed. New Wave Group AB complies with applicable tax laws and regulations, and judge that the current royalty has been handled in full compliance with tax laws.

Gothenburg 19 December 2008

New Wave Group AB (publ)
Göran Härstedt
President & CEO