Annual General Meeting of Peab AB, 2005

• Cash dividend amounting to SEK 2.50 • Continued authorisation to repurchase • Decision to issue convertibles to all employees The Annual General Meeting of Peab AB (publ) was held on Thursday 12 May. The meeting approved the board’s proposed dividend of SEK 2.50 per share. May 17 was appointed Record Day and it is estimated that dividends will be sent out by the Securities Register Centre (VPC) on Friday 20 May. The meeting discharged the board and CEO from liability for the 2004 financial year. Board members Ulf H Jansson, Jan Segerberg, Svante Paulsson, Annette Brodin Rampe, Karl-Axel Granlund, Göran Grosskopf and Mats Paulsson were re-elected. The Annual General Meeting decided that Peab AB will issue convertible loans for a nominal total value of SEK 480 million, which can be converted to class B shares through issue of at the most 5 853 658 convertible promissory notes, continuously from June 16, 2005 to June 15, 2008. Each convertible loan can, during the periods of October 1-15 2007 and April 1-15 2008, be converted to a class B share in Peab. Conversion can be made to a currency corresponding to 112 per cent of the latest noted average price paid for the period of May 13, 2005 to May 26, 2005 for class B shares in Peab, on the official exchange list of the Stockholm Stock Exchange. The conversion rate shall however be at the lowest SEK 82. At a conversion rate of SEK 82 amounts the highest possible dilution to approx 6.7 per cent of the share capital and 3.3 per cent of the number of votes. The meeting further authorised the board to decide on one or more new issues of B-shares during the period up to the next Annual General Meeting. The authorisation is for a maximum of in all 10% of the total registered number of shares at the time of authorisation. Any new issue shall be made according to the market’s usual terms and conditions. The meeting also authorized to accord the board the authority to decide on the repurchase of a maximum of 980.000 A-shares and a maximum of 8.700.000 B-shares, but not more than a total of 8.700.000 shares in the company. The shares may be acquired other than in proportion to the shareholders’ holdings, and shares may be acquired either on the Stockholm Stock Exchange or through offer to purchase during the period up to the next Annual General Meeting. The price paid for the shares shall be the stock exchange price at the time of purchase with a maximum deviation of + 10%. The shares may be purchased to improve the company’s capital structure, to be used to finance acquisitions or other transactions, or give possibility for later redemption, neutralize the dilution which may occur in connection with the conversion of the issued convertible loans. The meeting also authorised the board to decide whether to sell the purchased Peab shares during the period up to the next Annual General Meeting. The authorisation gives the board the right to make decisions about to whom the shares are to be sold and the conditions and manner of sale. Where shares are sold on the Stockholm Stock Exchange, the lowest price at which the board is authorised to sell the shares is the stock exchange price at the time of the sale. These authorisations give the board the right to decide on other issues related to the purchase and sale of Peab shares. Ulf H Jansson, Mats Paulsson, Malte Åkerström and Leif Franzon were appointed to the nomination committee. Malte Åkerström was elected chairman of the nomination committee. For more information please contact: Mats Leifland, Deputy MD Peab +46 733 37 10 06 Gösta Sjöström, Information Manager Peab +46 733 37 10 10 Previous press releases from Peab are available at www.peab.com