Viking Supply Ships

Earnings Release • Oct 24, 2007

Press release, October 24, 2007 From Rederi AB Transatlantic (publ)

INTERIM REPORT JANUARY ‐ SEPTEMBER 2007

Continued positive trend

• The Group's net revenue rose by 15% to SEK 1,871 M (1,631).
• Operating profit rose by SEK 27 M to SEK 174 M (147).
• On a rolling 12‐month basis, the Group's operating profit amounted to SEK 243 M, which corresponds to SEK 8.10 per share after current tax.
• Improved demand and profit for the Offshore/Icebreaking business area.
• In the Industrial Shipping business area, the European Services division reported improved earnings as a result of increased volumes and the effects of implemented market activities, while earnings declined somewhat in the Transatlantic Services division, compared with the corresponding period in the preceding year.
• Consolidated operating profit for the full‐year 2007 is expected to improve compared with the result for 2006.
• Results for January – September 2007:

Net revenue: SEK 1,871 M (1,631) Operating profit before tax: SEK 174 M (147) Profit before tax: SEK 172 M (142) Profit after current tax: SEK 172 M (142) Profit after full tax: SEK 157 M (133) On September 30, 2007, shareholders' equity per share amounted to SEK 42.30 (37.90 per share on December 31, 2006). The equity/assets ratio on the closing date was 39% (40% on December 31, 2006).

Transatlantic's operations, goals and strategy

Transatlantic consists of the Industrial Shipping business area, which comprises two divisions – Transatlantic Services and European Services – and the Offshore/Icebreaking business area. Transatlantic Services and European Services focus on contract shipping, primarily for the forest products and steel industries. The operations of the Offshore/Icebreaking business area are based on combination vessels on long‐term contracts and guaranteed income for icebreaking, in addition to other deployment, mainly for rig‐relocation in the offshore market.

Transatlantic's business concept is to market, develop and deliver the market's most efficient transport solutions in close and active cooperation with customers.

Transatlantic's goal is to be the market leader in its segments, with profitability that generates a favorable return for shareholders. The goal is a return of not less than 12% on shareholders' equity and an equity/assets ratio that does not fall below 30%.

The Group's strategy for the next few years emphasizes growth and sustainable profitability. Growth will be achieved organically and through acquisition. The Group is also very open to the development of various partnerships aimed at broadening operations or implementing various investments and projects.

The ambitions for growth will require investments in new tonnage and replacement tonnage. These include all divisions and will be conducted without jeopardizing the Group's financial targets. This also means that the Group's tonnage requirements will be partly resolved through charter contracts and by external investors becoming wholly or partly involved in the fleet operated by the Group.

The strategy for and development of the Group places major demands on quality, safety and the environment, as well as awareness of customer demands and a willingness to change.

General development during the third quarter

During the third quarter, shipping trends were generally favorable as a result of a continued positive global economic trend.

Within Transatlantic's segments, demand and deployment was generally favorable but the summer period had a negative effect on certain operations, resulting in lower deployment and a decline in earnings.

The Offshore/Icebreaking business area noted an increase in deployment and improved freight rates.

In the Industrial Shipping business area, the European Services Division reported a continued favorable volume trend and revenue growth during the period, but lower demand during July and August resulted in reduced earnings and lower profits in scheduled traffic.

The Transatlantic Services division recorded continued imbalance, which adversely impacted capacity utilization.

The Industrial Shipping business area improved its operating profit, which amounted to SEK 21 M (18) for the quarter.

• Earnings for Transatlantic Services were somewhat better than the preceding year. The volume of goods transported rose slightly compared with the corresponding period in the preceding year. The imbalance in the traffic flow also had a negative impact on profits for the period in the RoRo traffic. Operating profit for the division amounted to SEK 10 M (9).
• The European Services division benefited from positive volume growth as a result of implemented operation activities. Operating profit for the division amounted to SEK 11 M (9).

The Offshore/Icebreaking business area improved its demand compared with the trend in the second quarter, which resulted in increased deployment and earnings. During the quarter, two vessels commenced long‐term contracts, while two vessels were deployed in the spot market in the North Sea. Operating profit for the business area amounted to SEK 52 M (64).

Consolidated operating profit for the third quarter was SEK 65 M (79).

Consolidated earnings

The Group's net revenues for the first nine months amounted to SEK 1,871 M (1,631). Revenues for the three divisions increased slightly by more than 21%, while revenues for external ship‐ management assignments declined by SEK 59 M.

For the first nine months, the Group's operating profit totaled SEK 174 M (147) and on a rolling 12‐month basis, the Group's earnings amounted to SEK 243 M. Profit before tax totaled SEK 172 M (142). Results include restructuring expenses of SEK 2 M (expense: 5).

Net profit after tax for the nine‐month period amounted to SEK 157 M (133).

The Group's results are also presented in the following table.

Group		July ‐ September		January ‐ September	Full‐year	Rolling
SEK M	2007	2006	2007	2006		2006 12‐month 1)
Net revenue	611	581	1 871	1 631	2 252	2 492
Profit before capital costs (ʺEBITDAʺ)	116	141	314	302	409	421
Operating profit	78	100	206	180	252	278
Profit before tax	65	78	172	142	207	237
Profit margin	10,7%	13,5%	9,2%	8,7%	9,2%	9,5%
Profit before tax by business area
Industrial Shipping business area
Transatlantic Services division	10	9	13	16	12	9
European Services division	11	9	41	22	37	56
	21	18	54	38	49	65
Offshore/Icebreaking business area	52	64	144	124	191	211
Ship Management/Group‐wide	‐8	‐3	‐24	‐15	‐24	‐33
Total operating profit	65	79	174	147	216	243
Restructuring items	0	‐1	‐2	‐5	‐9	‐6
Profit before tax	65	78	172	142	207	237
Current tax	0	0	0	0	‐8	‐8
Deferred tax	‐4	‐8	‐15	‐9	‐12	‐17
Profit after current tax	65	78	172	142	199	229
Profit after full tax	61	70	157	133	187	212
SEK per share
Operating profit after current tax	2,30	2,60	6,10	4,70	6,90	8,10
Profit after current tax	2,30	2,60	6,10	4,70	6,70	7,90
Profit after full tax 1)	2,20	2,10	5,50	4,20	6,20	7,30

1) Pertains to 12‐month period October 2006 – September 2007. .

Industrial Shipping business area

The business area consists of two divisions, Transatlantic Services and European Services. The trend in the business area was generally positive with volume growth, a strong price structure and improved earnings compared with the corresponding period in the preceding year.

The business area's profit for the period January – September amounted to SEK 54 M (38).

Industrial Shipping		July ‐ September		January ‐ September	Full‐year	Rolling
SEK M	2007	2006	2007	2006	2006	12‐month
Net revenue	502	413	1 506	1 245	1 715	2 012
Profit after financial items	21	18	54	38	49	65
Profit margin	4,1%	4,3%	3,6%	3,1%	2,9%	3,2%

Continued improved earnings compared with the preceding year are forecast for the full‐year 2007.

Transatlantic Services

The Transatlantic Services division, operated by the wholly owned subsidiary Transatlantic Services AB, comprises three units that cooperate on tonnage and customer contracts with the aim of increasing capacity utilization and capitalizing on identified synergies.

In general, cargo volumes increased slightly during the first nine months of the year compared with the corresponding period in the preceding year. However, the traffic pattern has changed since 2006, which has meant that the transport system has been affected by imbalances in terms of larger volumes in the eastbound direction as a result of the weakened USD.

Despite the above mentioned imbalance problem and increased operating costs, Transatlantic RoRo services has improved its earnings compared with the earlier quarters of 2007. Compared with the corresponding period in the preceding year, earnings were unchanged.

Overall, transatlantic bulk operations had a favorable trend. The unit was positively affected by revenue generated from the chartering‐out of vessel capacity during the period. The nine‐month earnings improved compared with the year‐earlier period.

Transports of paper products along the US East Coast were affected by engine breakdown on one of the leased vessels during the first six months. Volume availability was favorable and growing, and earnings improved successively.

Negotiations concerning new orders of vessels to be deployed in Transatlantic Services are ongoing. The investment will create the prerequisites to significantly improve the division's profitability.

The division's profit for the nine‐month period amounted to SEK 10 M (9).

Transatlantic Services		July ‐ September		January ‐ September	Full‐year	Rolling
SEK M	2007	2006	2007	2006	2006	12‐month
Net revenue	190	198	571	616	798	765
Profit after financial items	10	9	13	16	12	9
Profit margin	5,3%	4,6%	2,3%	2,6%	1,5%	1,2%

European Services

The operations, which are conducted through the subsidiary Transatlantic European Services AB, comprise scheduled feeder traffic of containers to the UK and Germany and contract‐based small bulk traffic within Europe, as well as an expanding unit for European system traffic for forest products.

In terms of volume, container traffic in the UK (TransPal Line) developed positively and several new customers were added to the operation. However, this resulted in a negative impact on the balance of goods and increased handling costs. Traffic to Helsingborg has changed through traffic cooperation with the Icelandic shipping company, Samskip, whereby it will be possible to offer an expanded service and higher frequency. The unit reported weaker earnings compared with the year‐earlier period. An action program aimed at improving profitability was implemented and is expected to entail a gradual improvement in earnings for the remainder of the year.

In feeder traffic in Germany (TransFeeder Line), volumes increased significantly compared with 2006. A general volume increase was noted as a result of the continued favorable economic trend and the positive development of the new feeder service that was started between Northern Finland and Hamburg/Bremerhaven. The unit's results improved compared with the preceding year.

The trend for TransLumi Line, which commenced operations in the autumn of 2006, was positive. The number of customers with third‐party cargos increased and earnings gradually improved during the period. The system traffic in forest products generated satisfactory results.

Contract‐based small bulk traffic (TransBulk Services) developed favorably during the period and reported higher earnings than for the corresponding year‐earlier period.

Earnings for the European division, which reported an improvement in margins and a revenue increase of nearly 50%, amounted to SEK 41 M (22) for the first‐nine months.

European Services		July ‐ September		January ‐ September	Full‐year	Rolling
SEK M	2007	2006	2007	2006	2006	12‐month
Net revenue	312	215	935	629	917	1 247
Profit after financial items	11	9	41	22	37	56
Profit margin	3,5%	4,2%	4,4%	3,5%	4,0%	4,5%

Offshore/Icebreaking business area

Operations are conducted through the Norwegian joint‐venture company TransViking AS, in which Transatlantic owns 50%.

In general, the Offshore/Icebreaking business area displayed a favorable trend during the January to September period. Lower demand for AHTS vessels during the second quarter, particularly in May, resulted in lower deployment and lower freight rates. During the third quarter, demand improved successively and significantly, which resulted in improved earnings.

During the second quarter, long‐term contracts were signed for two vessels at satisfactory freight rates. The vessels are expected to be fully deployed for the remainder of the year.

The new construction of the two anchor‐handling vessels is proceeding according to plan. An agreement has been signed pertaining to the construction of two similar vessels.

Earnings for the business area amounted to SEK 144 M (124) for the first‐nine months.

Offshore/Icebreaking		July ‐ September		January ‐ September	Full year	Rolling
SEK M	2007	2006	2007	2006	2006	12‐month
Net revenue	79	96	234	196	294	332
Profit after financial items	52	64	144	124	191	211
Profit margin	65,8%	66,7%	61,5%	63,3%	65,0%	63,6%

The forecast for the remainder of the year is for a continued strong market but with lower demand than in the corresponding period in the preceding year. This is expected to result in somewhat lower, but nevertheless favorable, earnings for the full‐year compared with 2006.

Central Group organization

The central Group organization comprises management and the Production support function, as well as central administration and finance management. This includes ship management, which is responsible for Transatlantic's own fleet, and assignments for external vessel owners. These are responsible for all operating costs and Transatlantic invoices actual operating expenses incurred and fees for operating the external vessels. The primary motive for accepting external assignments is to achieve economies of scale for shipboard employees and for the comprehensive purchases undertaken for the Group's fleet of vessels. Certain non‐profitable external assignments were discontinued, which resulted in reduced net revenue compared with the preceding year.

Central Group organization expenses, which include net financial items for central finance management, amounted to SEK 8 M (expense: 3) for the third quarter. Joint expenses for the nine‐ month period amounted to SEK 24 M (expense: 15).

Central Group		July ‐ September		January ‐ September	Full‐year	Rolling
SEK M	2007	2006	2007	2006	2006	12‐month
Net revenue	30	72	131	190	243	148
Loss after financial items	‐8	‐3	‐24	‐15	‐24	‐33
Profit margin	‐26,7%	‐4,2%	‐18,3%	‐7,9%	‐9,9%	‐22,3%

Corporate tax

The general situation for the Group's current structure is that taxes payable are very limited. Accordingly, corporate tax consists mainly of estimated, deferred tax. The low level of taxes payable arises since some of the Group's operations are conducted in countries where taxation is based on tonnage tax, or similar tax structures, and amortization regulations that provide opportunities to defer tax liability payments.

The booked, deferred tax liabilities for the Swedish operation amounted to SEK 132 M at the end of September (116 on December 31, 2006).

The Norwegian government has proposed the introduction of a new tonnage tax from 2007. The proposal means that deferred tax liabilities on December 31, 2006 must be taxed, whereby two‐ thirds of the liability will be paid to the Norwegian Tax Authority over a ten‐year period. For Transatlantic, an approval of the proposal means that a total of approximately SEK 40 M will be paid during the next 10 years. The proposal also means that Transatlantic's 50%‐owned company, TransViking, will be tonnage taxed for the 2007 fiscal year, resulting in a very small tax burden. There were no deferred tax liabilities to consider in the Group's other operations.

Tonnage tax has been introduced in most EU countries and comprises a low annual fee on current tonnage instead of a direct profit‐based tax. There are current discussions in Sweden regarding the introduction of EU‐adapted tonnage tax that could replace the current system and provide possibilities for deferred tax.

Financial position, investments and divestments

The Group's cash and cash equivalents amounted to SEK 396 M at the end of the period (SEK 264 on December 31, 2006). In addition, the Group has unutilized committed lines of credit in the amount of SEK 340 M.

At the end of September, the Group's shareholders' equity totaled SEK 1,198 M (corresponding to SEK 42.30 per share). Minority interest in the year's closing shareholders' equity amounted to SEK 24 M, corresponding to SEK 0.80 per share.

The increasing activity within European Services has resulted in a certain increase in working capital, and accordingly, a slight decrease in the equity/assets ratio to 39% (40% on December 31, 2006).

Gross investments during the first nine months amounted to an expense of SEK 237 M (expense: 259). The expenses were primarily attributable to ongoing new construction of two AHTS vessels within the Offshore/Icebreaking business area and the acquisition of the TransNjord container vessel within the Industrial Shipping business area.

Financial position	September	December
SEK M at the close of each period	2007	2006
Total assets	3 080	2 744
Shareholdersʹ equity	1 198	1 085
Equity/assets ratio	39%	40%
Net indebtedness	902	818
Debt/equity ratio, %	75%	75%
Closing cash and cash equivalents	396	264
SEK per share
Shareholdersʹ equity incl. minority interests	42,30	37,90

Repurchase of shares

During the third quarter, 123,000 own shares were repurchased for an average price of SEK 47.28 per share. Following the cancellation of previously repurchased shares (in accordance with a resolution at the 2007 Annual General Meeting), there were 28,308,000 outstanding shares at the end of September.

Events after the close of the reporting period

• An agreement was signed with the Spanish shipyard, Zamakona, pertaining to the exercise of options to order a further two AHTS vessels for arctic waters. Transatlantic's share of the investments amounts to about SEK 550 M.
• Negotiations have continued with several shipyards concerning orders of new vessels for Transatlantic Services.
• Transatlantic has renegotiated the charter contract for a number of leased vessels, which means that leasing costs will be reduced by a total of SEK 11 M annually. In total, savings are expected to amount to approximately SEK 150 M during the charter period.
• As announced in a press release dated April 24, Transatlantic's President and CEO Håkan Larsson will resign his position and be succeeded by Carl‐Johan Hagman. Since the publication of the press release, the date that Carl‐Johan Hagman was scheduled to assume the position has been deferred to January 1, 2008. Håkan Larsson will remain in his position as President of Transatlantic until December 31. Effective October 1, Stefan Eliasson has been appointed as new CFO of Transatlantic

succeeding Hans Carlweitz, who is leaving the Group at his own request on October 31.

Risks and uncertainties

Transatlantic is a Group comprising a high degree of international operations, thereby exposing it to a number of operational and financial risks. Transatlantic works actively to identify and manage these risks and risk management is included as an element of the ongoing reviews of the operations. It has been deemed that no further key risks and uncertainties have arisen in addition to those risks and uncertainties described in Transatlantic's most recent annual report (page 37).

Transactions with closely related parties

No transactions have taken place between Transatlantic and closely related parties that have significantly affected the company's position or earnings.

Accounting principles

This interim report was prepared in accordance with the Swedish Annual Accounts Act and with the application of IAS 34, Interim Financial Reporting. The same accounting principles and basis for estimation for both the Group and Parent Company have been applied as those used in the most recent annual report. New or revised IFRS standards that have come into effect since January 1, 2007 have not had any significant impact on the Group's earnings or balance sheets.

Outlook for 2007

The general shipping market is expected to remain favorable for the rest of the year. Investments that were made in the Group, primarily in the European Services division, higher transport volumes, a strong price structure and efforts implemented to adjust vessel capacity in the Transatlantic Services division are expected to generate improvement in earnings for the Industrial Shipping business area.

The Offshore market is expected to remain strong, but with a slight increase in the number of vessels in the market it is uncertain whether the favorable revenues from 2006 can be repeated.

Overall earnings for the Group for the full‐year 2007 are expected to be better than the outcome for 2006.

Telephone conference

In conjunction with the interim report, a telephone conference is scheduled for Thursday, October 25, 2007 at 9:00 a.m. with Transatlantic's President Håkan Larsson and CFO Stefan Eliasson. For further information, please check our website: www.rabt.se.

Financial reports

Year‐end report February 26, 2008

Skärhamn, October 24, 2007 Rederi AB Transatlantic

(Corp. Reg. No. 556161‐0113)

This report is unaudited.

For further information, please contact President Håkan Larsson or CFO Stefan Eliasson Tel: +46 (0)304‐67 47 00

Consolidated income statement

	July ‐ September		January ‐ September		Year
All amounts in SEK M	2007	2006	2007	2006	2006
Net sales	611	581	1 871	1 631	2 252
Other operating revenue	0	1	2	3	11
Personnel costs	‐123	‐132	‐326	‐389	‐486
Other costs	‐373	‐309	‐1 234	‐943	‐1 367
Depreciation / write‐downs	‐37	‐41	‐107	‐122	‐158
Operating profit/loss	78	100	206	180	252
Net financial items	‐13	‐22	‐34	‐38	‐45
Profit/loss before tax	65	78	172	142	207
Tax on profit/loss for the period 1)	‐4	‐8	‐15	‐9	‐19
PROFIT/LOSS FOR THE PERIOD 2)	61	70	157	133	188
Attributable to: Shareholders of the parent company Minority interests in subsidiaries	61 0	70 0	157 0	131 2	182 6
PROFIT/LOSS FOR THE PERIOD	61	70	157	133	188

1) The tax expense for the period includes actual tax amounting SEK 0 M (Jan ‐ Sep 2006: 0, Jan ‐ Dec 2006: ‐7).

2) The amount includes restructuring costs with SEK ‐2 M (Jan ‐ Sep 2006: ‐5, Jan ‐ Dec 2006: ‐9).

Net sales by area of operation

	July ‐ September		January ‐ September		Year
All amounts in SEK M	2007	2006	2007	2006	2006
Industrial Shipping
Transatlantic Services	190	198	571	616	798
European Services	312	215	935	629	917
	502	413	1 506	1 245	1 715
Offshore/Icebreaking	79	96	234	196	294
TOTAL ‐ BUSINESS OPERATIONS	581	509	1 740	1 441	2 009
Ship Management/Group‐wide items	30	72	131	190	243
TOTAL NET SALES	611	581	1 871	1 631	2 252

Profit/loss after financial items per business area

		July ‐ September		January ‐ September	Year
All amounts in SEK M	2007	2006	2007	2006	2006
Industrial Shipping
Transatlantic Services	10	9	13	16	12
European Services	11	9	41	22	37
	21	18	54	38	49
Offshore/Icebreaking	52	64	144	124	191
TOTAL ‐ BUSINESS OPERATIONS	73	82	198	162	240
Ship Management/Group‐wide items	‐8	‐3	‐24	‐15	‐24
OPERATING PROFIT/LOSS BEFORE TAX	65	79	174	147	216
Restructuring items	0	‐1	‐2	‐5	‐9
PROFIT/LOSS BEFORE TAX	65	78	172	142	207
Attributable to:
Shareholders of the parent company	65	78	172	140	202
Minority interests in subsidiaries	0	0	0	2	5

Consolidated balance sheet

	Sep 30.	Dec 31.
All amounts in SEK M	2007	2006
Vessels	2 065	1 902
Other tangible fixed assets	66	64
Intangible fixed assets1)	14	12
Financial assets	100	118
Total fixed assets	2 245	2 096
Current assets	835	648
TOTAL ASSETS	3 080	2 744
Shareholdersʹ equity 2)	1 198	1 085
Long‐term liabilities 3)	1 365	1 207
Current liabilities 3)	517	452
TOTAL SHAREHOLDERSʹ EQUITY,
PROVISIONS AND LIABILITIES	3 080	2 744
1) Amount includes goodwill of SEK 2 M ( 1 ).
2) Minority interests are included with SEK 24 M ( 25 ).
3) The total of the Groupʹs long‐ and short‐term interest‐bearing liabilities amounts to SEK 1 298 M ( 1 082 ).

Pledged assets	2 035	1 626
Contingent liabilities	‐	‐

Consolidated cash‐flow statement

		July ‐ September	January ‐ September		Year
All amounts in SEK M	2007	2006	2007	2006	2006
Cash flow from current operations before changes
in working capital	104	137	282	279	363
Changes in working capital	‐6	‐66	‐62	‐114	‐81
Cash flow from current operations	98	71	220	165	282
Investing operations 1)	8	17	‐19	‐69	‐1
Financing operations	‐12	‐88	‐25	‐151	‐234
Dividend	‐	‐	‐57	‐62	‐62
Change in cash equivalents	94	0	119	‐117	‐15
Cash equivalents at beginning of period	298	170	264	296	296
Exchange‐rate difference in cash equivalents	4	‐1	13	‐10	‐17
CASH EQUIVALENTS AT END OF PERIOD 2)	396	169	396	169	264

1) Gross investments amounted for the period January ‐ September SEK 237 M and are mainly due to the aquisition of a containter vessel, TransNjord, ongoing newbuilding of two achorhandlers and dockings.

2) Cash equivalents, including utilized overdraft facilities, of SEK 396 M (Jan ‐ Sep 2006: 169, Jan ‐ Dec 2006: 264) are included in the balance sheet among current assets. In addition the group have unutilized standby facilities amounting SEK 340 M. The cash‐flow statementʹs ʺCash equivalents at end of periodʺ comprise liquid funds, including utilized overdraftfacility of SEK 0 M (Jan ‐ Sep 2006: 0, Jan ‐ Dec 2006: 0).

Consolidated shareholdersʹ equity

	July ‐ September		January ‐ September		Year
All amounts in SEK M	2007	2006	2007	2006	2006
Shareholdersʹ equity at beginning of period	1 134	1 108	1 085	1 135	1 135
Dividend	‐	‐	‐57	‐62	‐62
Acquisition of own shares	‐6	‐29	‐17	‐43	‐93
Translation differences / cash flow hedges	9	‐13	30	‐25	‐48
Profit/loss for the period	61	70	157	131	188
Effect of acquisitions 1)	‐	‐	‐	‐	‐35
SHAREHOLDERSʹ EQUITY AT END OF PERIOD 2)	1 198	1 136	1 198	1 136	1 085

There are no warrants or other equity instruments in Transatlantic Group.

1) In 2006 outstanding shares in two dutch companies was acquired whereby the minority shares was bought out.

2) Shareholdersʹ equity includes minority interests of SEK 24 M (30 Sep 2006: 55, 31 Dec 2006: 25).

		July ‐ September	January ‐ September	Year
Number of shares (ʹ000)	2007	2006	2007	2006	2006
Number of shares at beginning of period	28 431	30 421	28 642	30 858	30 858
Buy‐back of shares	‐123	‐728	‐334	‐1 165	‐2 216
Number of shares at end of period	28 308	29 693	28 308	29 693	28 642
Average number of shares Number of shares held as treasury shares	28 389 123	30 005	28 410	30 504	30 137

1) In August ‐07 the share capital was reduced with the at that time bought back shares, total 2,427,000. The remaining number of shares held as treasury shares, total 123,000, are bought back after the reduction.

Data per share

		July ‐ September	January ‐ September		Year
All amounts in SEK	2007	2006	2007	2006	2006
Earnings before capital expenses (EBITDA)	4,1	4.7	11,0	9.9	13.6
Earnings before interest expenses (EBIT)	2,9	3.4	7,8	6.3	8.9
Profit after current tax	2,3	2.6	6,1	4.7	6.7
Profit after full tax	2,2	2.1	5,5	4.2	6.2
Shareholdersʹ equity at end of period	42,3	38.2	42,3	38.2	37.9
Operating cash flow	3,6	4.1	9,8	8.9	12.4
Total cash flow	3,3	0.0	4,2	‐3.8	‐0.5

Key data 1)

		July ‐ September		January ‐ September		Year
		2007	2006	2007	2006	2006
Earnings before capital expenses (EBITDA)	SEK M	116	141	314	302	409
Earnings before interest expenses (EBIT)	SEK M	83	103	221	192	268
Shareholdersʹ equity	SEK M	1 198	1 136	1 198	1 136	1 085
Net interestbearing debts	SEK M	902	996	902	996	818
Operating cash flow	SEK M	102	121	279	270	374
Total cash flow	SEK M	94	0	119	‐117	‐15
Return on capital employed	%	13,8	18.1	12,7	11.1	12.0
Return on shareholdersʹ equity	%	21,0	25.3	18,3	15.7	17.0
Interest‐coverage ratio	TIMES	6,7	5.9	6,6	6.3	7.0
Equity/assets ratio 2007-10-24 16:20	%	38,9	40.0	38,9	40.0	39.5

Debt/equity ratio	%	75,3	88.0	75,3	88.0	75.4
Profit margin	%	10,7	13.5	9,2	8.7	9.2

1) The principles used calculating key data are the same that were used in the groupʹs latest annual report, where you also can find definitions.

Parent company income statement

	July ‐ September		January ‐ September		Year
All amounts in SEK M	2007	2006	2007	2006	2006
Net sales 1)	91	48	238	112	170
Other operating revenue	2	0	4	0	1
Personnel costs	‐8	‐7	‐21	‐22	‐35
Other costs 1)	‐80	‐40	‐220	‐105	‐159
Depreciation / write‐downs	‐6	‐5	‐17	‐13	‐17
Operating profit/loss	‐1	‐4	‐16	‐28	‐40
Net financial items 2)	2	0	92	206	198
Profit/loss after financial items	1	‐4	76	178	158
Reversal of tax allocation reservs	‐	‐	‐	‐	29
Profit/loss before tax	1	‐4	76	178	187
Tax on profit/loss for the period 3)	‐3	1	2	3	14
PROFIT/LOSS FOR THE PERIOD	‐2	‐3	78	181	201

1) Increase in sales and costs relates to the vessels Transpaper, Transpulp and Transtimber which by the parent

company are bare‐boat chartered in, and time‐chartered out to Stora Enso.

2) The amount includes dividends from group companies with SEK 93 M (Jan ‐ Sep 2006: 201, Jan ‐ Dec 2006: 279).

3) The tax expense for the period includes actual tax amounting SEK 0 M (Jan ‐ Sep 2006: 0, Jan ‐ Dec 2006: 0).

Parent company balance sheet

	Sep 30.	Dec 31.
All amounts in SEK M	2007	2006
Other tangible fixed assets	23	19
Intangible fixed assets1)	63	73
Financial assets	714	718
Total fixed assets	800	810
Current assets 2)	171	179
TOTAL ASSETS	971	989
Shareholdersʹ equity	732	727
Provisions	37	45
Long‐term liabilities 3, 4)	21	96
Current liabilities 3, 5)	181	121
TOTAL SHAREHOLDERSʹ EQUITY,
PROVISIONS AND LIABILITIES	971	989

1) Amount includes goodwill of SEK ‐ M ( ‐ ).

2) Liquid funds are included with SEK 92 M ( 104 ).

3) The total of the parent companys long‐ and short‐term interest‐bearing liabilities amounts to SEK 60 M ( 75 ).

4)The amount has been reduced by dividends settled against long‐term liabilities to group companies.

5) Current liabilities has been increased due to credit facilities SEK 60 M utilized 2nd quarter.

Pledged assets	50	50

Contingent liabilities	20	20