Veidekke's Economic Activity Report: Continued growth in the Norwegian building and construction market

Today Veidekke presented its economic activity report for the Scandinavian building, construction and housing market. "We anticipate continued growth in the building and construction market in Norway over the next two to three years, while it will be weaker in Sweden in the short term," says Rolf Albriktsen, who is Strategy and Market Director at Veidekke.

"Over the next two years, the Norwegian economy will contribute to growth in building and construction of around 6 per cent in 2013 and 3 per cent in both 2014 and 2015. The high growth this year comes primarily in the form of increased housing investment (+ 10 per cent) and continued growth in the construction market (+ 7 per cent), especially for large transport infrastructure projects. We expect to see at least 27,000 housebuilding starts in 2013 and between 25,000 and 30,000 housing starts a year until 2015," explains Albriktsen.

Decline in Sweden before an upturn
The Swedish economy is greatly affected by a difficult export market, with falling industrial production and increasing unemployment. Veidekke anticipates a decline of 3 per cent for building and construction in Sweden in 2013, but that this will turn into growth of around 3 per cent in 2014 and 4 per cent in 2015.
"We believe there will be a gradual improvement in the weak housing market in Sweden and that 22,000 new homes will be started this year, increasing to 30,000 a year by 2015," says Albriktsen.

Weak upturn in Denmark
Most forecasts assume that the Danish economy reached its low point in 2012. Activity in the building and construction market is at a low level and house prices are still low. "We believe there will be an increase of 2 per cent in building and construction in 2013, thanks to public investment, and that the private sector will contribute more in 2014 and 2015," concludes Albriktsen.

Veidekke prepares it economic activity report twice a year to present the group's view of the building and construction market in Scandinavia. The forecasts are based on applicable official statistics, in addition to forecasts prepared by Veidekke. The report is available at http://en.veidekke.com/investor-relations/reports_and_presentations/

For more information please contact:
Rolf Albriktsen, Strategy and Market Director, tel 21 05 75 71/ 906 91 110, rolf.albriktsen@veidekke.no
Kristoffer Eide Hoen, Consultant, tel 21 05 77 68/ 97 67 54 34, kristoffer.eide.hoen@veidekke.no   
Helge Dieset, Communications Manager, tel. 21 05 77 91 / 90 55 33 22, helge.dieset@veidekke.no

Veidekke is one of Scandinavia's leading contractors and property developers with a turnover of NOK 20 billion (2012) and 6,300 employees. Activities include building and construction projects, residential developments, asphalt plants, gravel and aggregates and road maintenance. Our values are professional, honest, enthusiastic and pioneering. Our goals for health, safety and the environment, HSE, have equal status with our financial goals. Veidekke is characterised by a strong corporate culture with employee involvement and co-ownership as important cornerstones. More than half of the employees are co-owners, holding around 20% of the Group's shares between them. The company is listed on the Oslo Stock Exchange and has never declared a loss since it was founded in 1936.