Year-end report for 2005 and interim report for the fourth quarter

• Invoicing and operating profit for the full year 2005 reached an all-time high, rising 10 percent at fixed exchange rates to SEK 4,936 M (4,333). Operating profit was SEK 1,100 M (840), equal an operating margin of 22.3 percent (19.4). • Fourth quarter invoicing also grew to a record level of SEK 1,321 M (1,131). Operating profit was SEK 319 M (221), equal to an operating margin of 24.1 percent (19.5). • Profit after tax for the full year was SEK 784 M (572). • Earnings per share for the full year rose 36 percent to SEK 26.95 (19.75). • The Board proposes a regular dividend of SEK 17.00 (15.00) per share, an extraordinary dividend of SEK 10.00 (10.00) per share and a 5-for-1 split. Comments from the CEO Strong market position, profitability and return in 2005 “In 2005 the Group further advanced its position with growth in all market regions and product areas. The most powerful growth was seen in Asia and the Central and Eastern Europe (CEE) area, but was also very strong in Western Europe and North America. Seco Tools set new records for invoicing, operating profit and earnings per share and at the same time achieved very satisfactory profitability and return. This strong performance was driven by a combination of successful product launches, excellent sales efforts and optimal capacity utilization in the Group’s manufacturing units”, says Kai Wärn, President and CEO of Seco Tools. For additional information contact Kai Wärn, President and CEO (Tel: +46 223-401 10) or Tomas Eliasson, CFO (Tel: +46 223-401 20). E-mail can be sent to investor.relations@secotools.com Previously published financial information can be found under “Investor Relations” on the Seco Tools website (www.secotools.com). Seco Tools AB’s corporate registration number is 556071-1060 and the company’s address is Seco Tools AB, SE-737 82 Fagersta, Sweden. The telephone number to the Group head office is +46 223-400 00.