Norske Skog ASA

Interim / Quarterly Report • Oct 2, 2024

About Norske tog

Norske Tog procures, owns and manages vehicles for rail passenger transport in Norway. The company leases train sets to train operators with an operating agreement with the Norwegian Railway Directorate. This structure facilitates the efficient procurement and management of trains and gathers the associated specialist expertise in a single place.

Norske tog AS is owned by the Ministry of Transport and Communications and is a category 2 company. The rationale behind the state's ownership is a desire to ensure that there is a provider offering rolling stock for rail passenger transport on competitively neutral terms. As an owner, the state's goal is to ensure the cost-effective procurement and leasing of trains.

This half-year report has not been audited.

Highlights 1st half year 2024

• On 25. March, Alstom started production of the first N05 local train.
• Work on Norway's new long-distance trains continues, and the main focus area during the period has been to finalise the interior design of the trains.
• Norske tog and Mantena worked together with the operator to make improvements and upgrades to the type 73 coaches that run on the Sørlandsbanen railway.
• On 4 June, Norske tog once again gathered the railway sector for the Train Academy Day.

Financial key figures (MNOK)	First half-year 2024	First half-year 2023	Year 2023
Operating profit/loss	152	216	401
Profit before tax	49	121	209
Profit for the period	38	95	163
Net cash flow	264	-108	-182
Working capital	53	-485	-627
Shareholders' equity	3 649	3 559	3 606
Equity ratio	25,6 %	25,9 %	25,6 %
Return on recognised equity*	3,0 %	3,9 %	4,8 %

Financial key figures

*Return on book equity is calculated on the profit for the period and is for the last 12 months.

Economic development in Norske tog

Results

For the first half of 2024, Norske tog had a profit before tax of 49 MNOK (121 MNOK). Compared with the same period last year, there is a decrease of 72 MNOK, which is mainly due to a decrease in revenue of 38 MNOK. Income from train hire is directly related to the value of the trains and will therefore follow the train fleet's loss of value over the years, and few new trains have been put into operation recently. A new lease price model is in place from 1 January 2024, which ensures that known and foreseeable costs are covered by the lease. Operating costs have increased by 26 MNOK compared with the same period last year. Of this, a new insurance agreement accounts for approximately 17 MNOK. In addition, financial expenses are 8 MNOK higher in the first half of 2024.

The result is a rolling 12-month return on book equity of 3.0 per cent. The goal over time is to deliver a rolling 12-month return of 5 per cent.

Norske tog spends a lot of time on its ongoing train acquisitions. Through these investments, the company contributes to a significant boost in the Norwegian railway sector. Norske tog's annual return will fluctuate in line with the scope of planned investment projects.

Profit/loss

373

Equity

Norske tog's equity ratio has decreased from 25.9 per cent in the first half of 2023 to 25.6 per cent in the first half of 2024. This is mainly due to increased borrowing as a result of increased planned investments in trains.

1st half-year 2023 1st half-year 2024

Financing

Norske tog has good creditworthiness. Standard & Poor's has given the company credit ratings for long-term borrowing of A+ (stable).

The company borrows through the Euro Medium Term Note (EMTN) programme. The EMTN programme does not contain any financial requirements, but there is an ownership clause stipulating that the state must own 100 per cent of Norske tog.

As of 30 June 2024, Norske tog has one bond loan that matures within the next 12 months. The next maturity is a loan of 400 MNOK that matures in March 2025.

373

Maturity of non-current liabilities

Long-term obligations

Cash flow

Net cash flow from operations totalled 491 MNOK (545 MNOK). Net cash flow used for investments totalled 470 MNOK (1,441 MNOK), where the funds were mainly used for prepayment of new trains. Net cash flow from financing activities totalled 244 MNOK (788 MNOK), which was mainly used to raise loans. The net change in cash flow is 264 MNOK (-108 MNOK).

1st half-year 2024 1st half-year 2023

Risk management

Financial risk

The company's overall risk management plan focuses on the unpredictability of the capital markets and seeks to minimise the potential negative effects on the company's financial results.

Norske tog raises loans in the markets and currencies that are considered to offer the most favourable terms overall. Loans in foreign currency are swapped to Norwegian kroner through combined interest rate and currency swap agreements. Norske tog is therefore not exposed to currency risk on debt.

The company makes purchases from foreign suppliers and is thus exposed to currency risk. As Norske tog is entitled to include the realised exchange rate used for procurements in the rent the company receives from the train operators, the Ministry of Transport and Communications is of the opinion that there will be no need to hedge the procurement.

Norske tog is exposed to changes in interest rates. The company utilises interest rate swaps to reduce interest rate risk and to achieve the desired interest rate structure on its debt. Targets have been established that regulate the proportion of loans that will be subject to interest rate adjustments in a twelve-month period, and for fixed interest rates on the portfolio. The goal is to have approximately 70 per cent at fixed and 30 per cent at floating rates.

According to established targets, 150 per cent of the company's capital requirement in the next 12-month period will be covered by free liquidity and established credit facilities.

A new rental price model is in place from 1 January 2024, which ensures that known and foreseeable costs are covered by the lease.

Norske tog has established a framework for issuing green bonds. A detailed report is prepared annually that describes which green investment projects are to be financed through green bonds, and what the actual environmental and climate impacts of these projects are. Norske tog endeavours to follow the market's best practice for reporting and works continuously to prepare the company's environmental impact reporting. The company is following the development of the EU's Green Bond Standard, and will work to move from the current reporting in accordance with ICMA to the EU's Green Bond Standard when the latter framework is fully developed.

Operational risk

Systematic analyses of operational risk and the achievement of financial targets are carried out. Based on the risk analyses, control activities have been established to reduce identified risks, including automatic controls, audits and follow-up, as well as extended analyses related to special risk areas.

Norske tog is responsible for maintaining and, if necessary, extending the technical service life of the trains it owns. A risk for the company is a lack

of financing to maintain the service life through mid-life upgrades and other modifications. In order for Norske tog to be able to deliver on the company's goals and the owner's expectations, the company must have a financing model that provides sufficient rental income and return to enable the company to make the necessary acquisitions in time and at the same time have the financial room for manoeuvre to carry out the necessary upgrades.

A large proportion of the company's fleet is getting old and needs to be replaced. In order for the company to be able to deliver a better train service in accordance with the expectations in the National Transport Plan (NTP), Norske tog is dependent on being able to exercise the options in existing procurement agreements. It takes a minimum of 18 months from exercising an option until new trains are delivered.

There is a limited risk that Norske tog will not have access to the train sets at the right time to make major upgrades or changes. Norske tog will continue to work on obtaining the necessary maintenance data for the trains.

Norske tog is well underway with the largest train procurement programme in Norwegian history. Both new local and long-distance trains will be purchased. These are essential purchases to maintain today's train services and to make travelling by train more attractive. With a record number of trains to be procured in such a short space of time, it is crucial, in terms of both efficiency and costs, that Norske tog has the key in-house expertise to follow up the projects effectively.

Two years of corona pandemic, closely followed by war in Ukraine, have contributed to increased unrest in the world. Access to raw materials has declined, commodity prices have risen, exchange rates are unstable and interest rates have risen. The situation could therefore affect both the economy and project delivery times. Any delays will be handled in ongoing dialogue with the company's suppliers. In addition, the company maintains a close dialogue with operators, the Norwegian Railway Directorate and Bane NOR to ensure that any adjustments to finances and plans do not affect normal traffic on the Norwegian rail network.

The mid-life upgrade of type 72 and the installation of ERTMS on the trains are two major projects that have been delayed in relation to the original plan. Start-up depends on both infrastructure, which is Bane NOR's responsibility, and conversion of vehicles, which is Norske tog's responsibility.

Important events

The first half of the year was characterised by a high level of activity in the company, with a particular focus on the procurement of new local and long-distance trains, as well as several other ongoing management projects.

Production of new Coradia Nordic trains initiated

In January 2022, Norske tog entered into a framework agreement with Alstom with the option to purchase a total of 200 local and regional trains. 30 local trains were ordered in 2022, and on 10 January 2023, Norske tog and Alstom signed an agreement to order a further 25 new Coradia Nordic trains. With the new agreement, a total of 55 trains have been ordered from Alstom.

The first order of 30 local trains is currently in production and will be delivered during 2026. On 25 March, Alstom started production of the first local train of type N05. The new regional trains, which are now being ordered, are scheduled to run on Norwegian rails from 2027. The new trains will be used on local and regional train routes in the Oslo area, and will contribute to a significant improvement in services for many train commuters. We are working closely with Bane NOR, among others, to ensure a smooth supply of trains on the relevant routes. The Norwegian Railway Directorate has also made a preliminary recommendation to use new Alstom trains to upgrade the rolling stock on the Rørosbanen. The trains are expected to be tested in Norway in early 2025.

The Coradia Nordic trains ordered by Norske tog are specially adapted to the Norwegian railway network and Norwegian weather conditions. The regional trains now on order can reach speeds of up to 200 km/h. Each train set will consist of six high-capacity carriages.

Work continues on Norway's new long-distance trains

On 8 March 2023, Norske tog signed an agreement with Swiss train manufacturer Stadler for the purchase of 17 new long-distance trains, with options to purchase a total of 100 trains. Stadler won the procurement competition, which has a cost framework of 8 BNOK, after an overall assessment of cost and quality. The new train type is specially adapted to Norwegian conditions and has been named FLIRT Nordic Express. The new trains will have reclining seats, flexible sleeping compartments, a bistro, family facilities and plenty of luggage space, and will help make trains the most attractive mode of travel in Norway.

During the first half of 2024, Norske tog has worked closely with Stadler to ensure progress in the procurement. The main focus area during the period has been to finalise the interior design of the trains. The design of the bistro, vestibule and seat carriages has now been finalised, and physical mockups have been produced. These are located in Drammen and have been presented to the operators. Work has also been done on the carriage bodies and technical modules.

The trains are in the process of being finalised for production and will arrive

in Norway for testing in 2026. The first trains are scheduled to enter service on the Bergen line from 2027, replacing trains that are approaching the end of their service life. Trains are being purchased for all long-distance train routes in Norway (Bergensbanen, Sørlandsbanen, Dovrebanen and Nordlandsbanen). The new Norwegian long-distance train will probably be one of the best universally accessible trains in Europe.

Upgrades of type 73 on the Sørland line

At the initiative of Go-Ahead Nordic, Norske tog and Mantena have worked together with the operator to make improvements and upgrades to the type 73 wagons that run on the Sørlandsbanen. The route is characterised by demanding infrastructure, and combined with this, Go-Ahead has experienced challenges with the rolling stock they have been allocated. The modifications include major and minor changes, including upgrading elements and revising crane modules, as well as replacing HVAC modules.

The first upgraded set was presented on 11 March to politicians and players in the train industry. A further 7 train sets will be upgraded during 2024.

Successful completion of the Train Academy

On Tuesday 4 June, Norske tog invited industry colleagues to a trade day and mingling at its own premises. Representatives from operators, suppliers, maintenance companies and partners, as well as from the owner and the Norwegian Railway Directorate, were present, both as participants and speakers. The programme was structured around Norske tog's three main tasks - procuring, owning and managing trains, supplemented with some general information about the railway and industry trends. The presentations were organised in two parallel sessions, where participants could sign up for the topics they found most interesting.

New board member on Norske tog's board

Kristin Veierød joined the board of Norske tog at the annual general meeting on 3 June 2024.

Kristin Veierød holds a law degree from the University of Oslo and a master's degree in economics from NHH. Veierød is a partner and chair of the board of the law firm Hjort DA, where she has been a partner for over 20 years and chair since 2021. She has previously worked as a lawyer in Telenor ASA.

Norske tog's Board of Directors now consists of four shareholder-elected board members and two employee representatives.

Future prospects

A look back at the first half of the year shows that the trend of high activity levels will continue in 2024. The two procurement processes are at the centre of the company's work, but the upgrading of type 72 is also important for the train offering. It is expected that these projects will leave their mark on the rest of 2024, with further work on long-distance trains, testing of local trains in Norway, and the phasing in of the mid-life upgraded type 72.

Norske tog is also monitoring signals from the Ministry of Transport and Communications, the Norwegian Railway Directorate and the political leadership, and cannot rule out the possibility of new assignments in 2024.

Good financial results and solid equity are important to ensure freedom of action to deliver on the company's assignments going forward. Norske tog's income comes from leasing income from the train operators, who in turn receive their income from passengers and from transport agreements with the state. The leasing income model is in the process of being changed, which will ensure higher and more stable leasing income for the company. Efforts are also being made to establish a captive, with the aim of reducing insurance costs by having the train fleet's insurance in-house. Ongoing financial processes mean that the company expects increased revenues from 2025. Norske tog will continue its efforts to ensure that the company has sufficient income to cover the company's known and foreseeable costs over time.

Events after the balance sheet date

There are no significant events after the balance sheet date other than those mentioned in this report.

Conclusion

The interim report has been prepared in accordance with the requirements of IAS 34 Interim Financial Reporting.

In the best judgement of the Board of Directors and CEO, the report reflects significant transactions carried out with related parties in the current period and the most important risk factors facing the business in the coming period.

In the best judgement of the Board of Directors and CEO, the financial statements for the first half of 2024 have been prepared in accordance with applicable accounting standards and give a true and fair view of the company's assets, liabilities, financial position and results of operations as a whole at the end of the period, as well as a true and fair view of important events during the reporting period and their impact on the financial statements. The financial statements for the first half of 2024 have not been audited by the company's auditor.

Oslo, 28 August 2024

Jan Morten Ertsaas Chairperson

Vidar Larsen Board Member/ Employee Representative

Espen Opedal Board Member

Anita Meidell Board Member

Razieh Nejati Fard Board Member/ Employee Representative

Kristin Veierød Board member

Øystein Risan CEO

Income statement

INCOME STATEMENT	Notes	1st half-year 2024	1st half-year 2023	2nd quarter 2024	2nd quarter 2023	Year 2023	Last 12 months
All numbers in TNOK
Leasing revenue		677 190	713 901	338 314	360 279	1 442 890	1 406 179
Other revenue		511	1 395	180	910	4 561	3 677
Operating revenue		677 701	715 296	338 494	361 189	1 447 451	1 409 856
Payroll and related expenses		28 072	21 128	10 631	7 771	56 425	63 369
Depreciation and impairment		371 486	372 987	187 808	185 475	746 612	745 111
Other operating expenses		126 450	105 262	63 979	50 200	243 623	264 811
Total operating expenses		526 008	499 377	262 418	243 446	1 046 660	1 073 291
Operating profit		151 693	215 919	76 076	117 743	400 791	336 565
Financial posts
Financial income		43 073	59 346	22 596	27 920	105 617	89 344
Financial expenses		-142075	-157519	-67889	-75734	-293534	-278090
Unrealised fair value changes	1	-3397	3 509	-2728	5 548	-3956	-10862
Net financial items		-102399	-94664	-48021	-42266	-191873	-199608
Profit before income tax		49 294	121 255	28 055	75 477	208 918	136 957
Income tax expense		10 844	26 676	6 171	16 605	46 101	30 269
Profit for the period		38 450	94 579	21 884	58 872	162 817	106 688
Attributable to
Equity holders		38 450	94 579	21 884	58 872	162 817	106 688
OTHER COMPREHENSIVE INCOME
Profit for the year		38 450	94 579	21 884	58 872	162 817	106 688
Items that will not be reclassified to profit or loss
Hedge accounting - foreign currency		5 955	71 257	-17642	20 576	43 333	-21969
Tax related to items not to be reclassified		-1310	-15677	3 881	-4527	-9534	4 833
Deviation retirement benefit obligations		-	-	-	-	376	376
Tax related to items that will not be reclassified		-	-	- -		-82	-82
Total comprehensive income for the period		43 095	150 159	8 123	74 921	196 911	89 846
Attributable to
Equity holders		43 095	150 159	8 123	74 921	196 911	89 846

Balance sheet

OVERVIEW FINANCIAL POSITION (MNOK)	Notes	30.06.2024	30.06.2023	31.12.2023	31.03.2024
All numbers in TNOK
ASSETS
Property, plant and equipment	3	13 522 593	13 188 015	13 369 982	13 594 028
Total non-current assets		13 522 593	13 188 015	13 369 982	13 594 028
Trade and other receivables		96 044	65 633	150 677	129 725
Derivative financial assets		17 535	53 441	19 939	34 837
Cash and bank deposits		627 359	434 660	367 807	660 865
Total current assets		740 938	553 733	538 423	825 427
TOTAL ASSETS		14 263 531	13 741 748	13 908 405	14 419 455
EQUITY AND LIABILITIES
Ordinary shares and share premium		2 400 000	2 400 000	2 400 000	2 400 000
Retained earnings		1 232 830	1 125 849	1 194 381	1 210 947
Hedge accounting		16 180	33 314	11 534	29 941
Total equity		3 649 011	3 559 164	3 605 915	3 640 888
Borrowings	4	8 990 826	8 226 352	8 208 444	8 999 635
Deferred tax obligation		898 118	872 599	885 963	895 827
Retirement benefit obligations		1 327	1 364	1 327	1 327
Other accruals		36 326	43 763	41 466	38 831
Total long term liabilities		9 926 597	9 144 078	9 137 200	9 935 620
Trade and other payables		110 377	137 393	196 158	119 701
Borrowings	5	571 592	899 100	954 483	722 332
Derivative financial instruments		5 956	2 012	14 649	914
Total short term liabilities		687 924	1 038 505	1 165 289	842 947
TOTAL EQUITY AND LIABILITIES		14 263 531	13 741 748	13 908 405	14 419 455

Jan Morten Ertsaas Chairperson

Vidar Larsen Board Member/ Employee Representative

Oslo, 28 August 2024

Espen Opedal Board Member

Anita Meidell Board Member

Razieh Nejati Fard Board Member/ Employee Representative

Kristin Veierød Board member

Øystein Risan CEO

Cash flow

	1. half-year 2024	1. half-year 2023	Year 2023
All numbers in TNOK
Profit for the period before income tax expense	49 294	121 254	208 918
Net financial items	147 007	111 268	162 012
Other financial items	-49 946	-10 057	39 057
Depreciation and impairment in the income statement	371 486	372 987	746 612
Cash on sale of assets	496	-	4 061
Gain/loss on sale of assets	-496	-	-4 061
Net changes to obligations and retirement benefit oblig.	-	-250	43
Changes to working capital	-27 265	-49 720	-77 147
Net cash flow from operating activities	490 575	545 482	1 079 496
Purchase of PPE	-470 258	-1 441 074	-1 949 342
Net cash flow from investment activities	-470 258	-1 441 074	-1 949 342
Interest paid on borrowings	-225 551	-186 265	-300 662
Interest income	25 360	48 319	68 373
Proceeds from borrowings	1 200 000	2 350 000	2 550 000
Repayment of borrowings	-750 000	-1 418 750	-1 618 750
Payments of installments on lease liabilities	-5 798	-5 620	-11 226
Net cash flow from financial activities	244 010	787 684	687 735
Net change in cash and bank deposits for the period	264 327	-107 908	-182 111
Cash and bank deposits as at the beginning of the period	367 807	538 207	538 207
Foreign exchange gain/loss on cash and bank deposits	-4 776	4 360	11 712
Cash and bank deposits as at the end of the period	627 359	434 660	367 807

Equity

30.06.2024	Ordinary shares	Share premium	Specification hedge accounting reserves	Retained earnings	TOTAL
			All numbers in TNOK
Equity 1st of January 2024	100 000	2 300 000	11 534	1 194 381	3 605 915
Profit for the year	-	-		38 450	38 450
From other comprehensive income	-	-	4 645	-	4 645
Reported directly to the hedge reserve	-	-	-	-	-
Equity 30th of June 2024	100 000	2 300 000	16 179	1 232 831	3 649 011
30.06.2023	Ordinary shares	Share premium		Retained earnings	TOTAL
			All numbers in TNOK
Equity 1st of January 2023	100 000	2 300 000	-21 000	1 031 270	3 410 270
Profit for the year	-	-		94 579	94 579
From other comprehensive income	-	-	55 580	-	55 580
Reported directly to the hedge reserve	-	-	-1 266	-	-1 266
Equity 30th of June 2023	100 000	2 300 000	33 314	1 125 849	3 559 164
2023	Ordinary shares	Share premium		Retained earnings	TOTAL
			All numbers in TNOK
Equity 1st of January 2023	100 000	2 300 000	-21 000	1 031 270	3 410 270
Profit for the year	-	-		162 817	162 817
From other comprehensive income	-	-	33 800	294	34 094
Reported directly to the hedge reserve	-	-	-1 266	-	-1 266
Equity 31st of December 2023	100 000	2 300 000	11 535	1 194 380	3 605 915

Notes - reporting information

Framework and accounting policies

The financial statements of Norske tog AS have been prepared in accordance with International Financial Reporting Standards (IFRS) and interpretations from the IFRS Interpretations Committee (IFRIC) as adopted by the EU.

The company's financial statements are prepared on a historical cost basis with the exception of financial derivatives and certain financial assets and liabilities that are recognised at fair value.

The company has non-current liabilities, financial derivatives and certain financial assets recognised at fair value. When calculating fair value, estimates are used that are mainly based on observable prices that may change over time. Changes in assumptions will result in changes in recognised values with changes in value through profit or loss.

The interim financial statements are presented in accordance with IAS 34 Interim Financial Reporting. The interim financial statements must be read in conjunction with the company's most recent annual financial statements, which contain a complete description of the company's accounting policies.

The tax expense for the period is calculated on the basis of the nominal tax rate in Norway.

The accounting policies applied for the first half of 2024 are consistent with the accounting policies applied for the annual financial statements for 2023.

Hedge accounting Principle description

Forward exchange contracts have been entered into to hedge future payments in accordance with the contract entered into for the mid-life upgrade of train sets type 72 (local trains), which is denominated in EUR. The forward exchange contracts are recognised at fair value. Hedge accounting with cash flow hedge treatment is applied in the company.

The part of the change in value of the hedging instrument that is deemed to be an effective hedge is recognised in other comprehensive income and classified as a cash flow hedge reserve in equity. On payment, the associated change in value is reclassified from the cash flow hedge reserve to property, plant and equipment (classified as construction in progress until the mid-life upgrade is completed).

1. Unrealised changes in value

Below is a specification of unrealised changes in the value of assets, liabilities and derivatives that are measured at fair value.

Unrealised fair value changes	30.06.2024	30.06.2023	31.12.2023
All numbers in TNOK
Unrealised value changes derivatives used for hedging	-3 397	-560 537	-568 002
Unrealised value changes bonds	-	564 046	564 046
Total unrealised value changes financial items	-3 397	3 509	-3 956

2. Sales analysis per category

Norske tog AS has only one operating segment - leasing of trains.

Information about important customers

The company has four customers for leasing passenger rolling stock, VyGruppen AS, Go-Ahead AS, SJ Norge AS and Vy tog AS, which account for 100 per cent of leasing income.

3. Property, plant and equipment

PROPERTY, PLANT AND EQUIPMENT All figures in TNOK	Machinery and Equipment	Trans portation	Partially delivered trains	Assets under construction	Right of use Property	Total
Balance sheet 1 January 2024
Accumulated acquisition cost	159 930	15 597 111	2 139 803	382 521	72 751	18 352 117
Accumulated depreciation	-102 225	-4 856 634	-	-	-23 276	-4 982 135
Total	57 705	10 740 477	2 139 803	382 521	49 476	13 369 982
01.01.2024
Opening balance	57 705	10 740 477	2 139 803	382 521	49 476	13 369 982
Additions	-	6 968	418 246	45 044	-	470 258
Balance sheet interest	-	-	-	53 839	-	53 839
Trains for recycling	-607	-7 527	-	-	-	-8 134
Trains for recycling acc. depreciation	607	7 527	-	-	-	8 134
Transfers within PPE	695	24 330	-58 037	33 012	-	0
Depreciations for the year	-11 621	-354 693	-	-	-5 172	-371 486
Total	46 779	10 417 082	2 500 012	514 417	44 304	13 522 593
Balance sheet 30 June 2024
Accumulated acquisition cost	160 018	15 620 881	2 500 012	514 417	72 751	18 868 080
Accumulated depreciation	-113 239	-5 203 799	-	-	-28 448	-5 345 487
Total	46 779	10 417 082	2 500 012	514 417	44 304	13 522 593

PROPERTY, PLANT AND EQUIPMENT All figures in TNOK	Machinery and Equipment	Trans portation	Partially delivered trains	Assets under construction	Right of use Property	Total
Balance sheet 1 January 2023
Accumulated acquisition cost	142 253	15 393 562	602 922	133 888	58 651	16 331 276
Accumulated depreciation	-79 431	-4 157 330	-	-	-17 227	-4 253 989
Total	62 822	11 236 232	602 922	133 888	41 423	12 077 287
1st half-year 2023
Opening balance	62 822	11 236 232	602 922	133 888	41 423	12 077 287
Additions	5 042	1 644	1 301 720	132 668	17 940	1 459 014
Balance sheet interest	-	-	-	27 411	-	27 411
Trains for recycling	-46	-	-	-	-	-46
Trains for recycling acc. depreciation	46	-	-	-	-	46
Changes to contracts (IFRS 16)	-	-	-	-	-6 897	-6 897
Changes to contracts acc. depr. (IFRS 16)	-	-	-	-	4 186	4 186
Transfers within PPE	5 342	115 374	-111 642	-9 074	-	-
Depreciations for the year	-12 290	-355 502	-	-	-5 196	-372 987
Total	60 916	10 997 748	1 793 000	284 893	51 458	13 188 015
Balance sheet 30 June 2023
Accumulated acquisition cost	152 591	15 510 580	1 793 000	284 893	73 881	17 814 945
Accumulated depreciation	-91 675	-4 512 832	-	-	-22 423	-4 626 930
Total	60 916	10 997 748	1 793 000	284 893	51 458	13 188 015

PROPERTY, PLANT AND EQUIPMENT All figures in TNOK	Machinery and Equipment	Trans portation	Partially delivered trains	Assets under construction	Right of use Property	Total
Balance sheet 1 January 2023
Accumulated acquisition cost	142 253	15 393 562	602 922	133 888	58 651	16 331 276
Accumulated depreciation	-79 431	-4 157 330	-	-	-17 227	-4 253 989
Total	62 821	11 236 232	602 922	133 888	41 423	12 077 287
01.01.2023
Opening balance	62 821	11 236 232	602 922	133 888	41 423	12 077 287
Additions	6 853	22 081	1 919 412	996	20 997	1 970 339
Balance sheet interest	-	-	-	71 678	-	71 678
Sale of train sets	-	-5 846	-	-	-	-5 846
Sale of train sets acc. Depreciation	-	5 846	-	-	-	5 846
Trains for recycling	-1 329	-12 951	-	-	-	-14 280
Trains for recycling acc. depreciation	1 329	12 951	-	-	-	14 280
Disposal	-	-	-	-	-6 897	-6 897
Disposal acc. depreciation	-	-	-	-	4 186	4 186
Transfers within PPE	12 153	191 259	-382 532	179 119	-	-
Interest carried on the balance sheet activated	-	3 160	-	-3 160	-	-
Depreciation	-24 123	-712 255	-	-	-10 235	-746 612
Total	57 705	10 740 477	2 139 803	382 521	49 476	13 369 982
Balance sheet 31.12.2023
Accumulated acquisition cost	159 930	15 597 111	2 139 803	382 521	72 751	18 352 117
Accumulated depreciation	-102 225	-4 856 634	-	-	-23 276	-4 982 135
Total	57 705	10 740 477	2 139 803	382 521	49 476	13 369 982

4. Financial instruments

Assessment of fair value

Below is a comparison between values on the balance sheet and fair value for the company's interest bearing debt

Interest bearing debt - long term	30.06.2024	30.06.2023	31.12.2023
All numbers in TNOK
Bonds measured at fair value	47 450	82 976	65 068
Bonds measured at amortized cost	8 943 376	8 143 376	8 143 376
Total interest bearing debt - long term	8 990 826	8 226 352	8 208 444
Interest bearing debt - short term	30.06.2024	30.06.2023	31.12.2023
All numbers in TNOK
Bonds measured at fair value	171 592	149 100	35 429
Bonds measured at amortized cost	400 000	550 000	-
Other loans	-	200 000	919 054
Total interest bearing debt - short term	571 592	899 100	954 483
Total interest bearing debt	9 562 417	9 125 452	9 162 926
Nominal values	30.06.2024	30.06.2023	31.12.2023
All numbers in TNOK
Bonds measured at fair value	-	-	-
Certificate loan at amortized cost	-	200 000	200 000
Bonds measured at amortized cost	9 343 376	8 693 376	8 693 376
Total interest bearing debt - nominal values	9 343 376	8 893 376	8 893 376

The fair value of bond loans at amortised cost is TNOK 9 343 376 (30 June 2023: TNOK 8 693 376) as at 30 June 2024.

All existing bond issues are covered by the Euro Medium Term Note (EMTN) programme. The EMTN programme contains no financial covenants, but an optional ownership clause stating that the state shall own 100 percent of Norske tog AS. All bond loans are classified at level 2.

The fair value of the credit margin on bond loans is based on market observations from banks and the pricing/price of the bonds in the secondary market.

5. Hedge accounting

As of 30 June 2024, the company has recognised the following hedging instruments:

	Currency bought	Currency sold	Nominal amount EUR	Total fair value	Maturity 1-6 mnths	Maturity 6-12 mnths	Maturity more than 1 yr
Forward exchange
All numbers in TNOK
Assets	EUR	NOK	31 046	8 108	3 233	2 995	1 880
Liabilities	EUR	NOK	22 947	-5 956	-3 717	-711	-1 528

As of 30 June 2023, the company has recognised the following hedging instruments:

	Currency bought	Currency sold	Nominal amount EUR	Total fair value	Maturity 1-6 mnths	Maturity 6-12 mnths	Maturity more than 1 yr
Forward exchange
All numbers in TNOK
Assets	EUR	NOK	52 644	34 262	6 960	8 858	18 444
Liabilities	EUR	NOK	1 350	-96	-96	-	-

As of 31 December 2023, the company has recognised the following hedging instruments:

	Currency bought	Currency sold	Nominal amount EUR	Total fair value	Maturity 1-6 mnths	Maturity 6-12 mnths	Maturity more than 1 yr
Forward exchange
All numbers in TNOK
Assets	EUR	NOK	35 096	8 225	3 104	2 182	2 938
Liabilities	EUR	NOK	18 885	-8 166	-5 312	-2 085	-768
Specification hedging reserve All numbers in TNOK Balance as at 1st of January					30.06.2024 11 534	30.06.2023 -21 000	31.12.2023 -21 000
Change in fair value					5 955	71 257	43 333
Reclassified to assets under construction when paid				-	-	-1 266	-1 266
Deferred tax					-1 310	-15 677	-9 533
Balance at end of period					16 179	33 314	11 534

Norske tog AS

Visiting address Drammensveien 35, N-0271 Oslo

P.O. Box P.O. Box 1547 Vika, 0117 Oslo, Norway

E-mail address post@norsketog.no

Web

norsketog.no