Kinnevik — Earnings Release 2007

Feb 19, 2008

Investment AB Kinnevik

Skeppsbron 18 P.O. Box 2094 SE-103 13 Stockholm Sweden www.kinnevik.se

(Publ) Reg no 556047-9742 Phone +46 8 562 000 00 Fax +46 8 20 37 74

YEAR-END RELEASE 2007

Financial results for the fourth quarter

• • The market value of the Group's securities in Major Listed Holdings increased by SEK 6,241 million to SEK 50,761 million at 31 December.
• • Korsnäs' revenues amounted to SEK 1,821 million (1,722).
• • Operating profit for Korsnäs was SEK 7 million (78) (comparable figures excluding restructuring costs).
• • The Group's total revenue amounted to SEK 1,873 million (1,767) and operating profit was a loss of SEK 5 million (loss of 124).
• • Net result after tax, including changes in fair value of financial assets, amounted to SEK 6,647 million (9,192).
• • The earnings per share was SEK 25.18 (34.82).

Events during the fourth quarter

• The Group participated in the new share issue in connection to the initial public offering of Black Earth Farming. At the end of 2007, Kinnevik owned 20% of the company.

Financial results for 2007

• • The market value of the Group's securities in Major Listed Holdings increased by SEK 14,606 million, corresponding to 40%, and amounted to SEK 50,761 million on 31 December.
• • Korsnäs' revenues increased by 5% to SEK 7,519 million (7,134) (comparable figures pro forma including Frövi).
• • Operating profit for Korsnäs amounted to SEK 836 million (865) (comparable figures pro forma including Frövi, excluding restructuring costs).
• • The Group's total revenue amounted to SEK 7,673 million (6,305) and operating profit was SEK 885 million (478).
• • Profit after tax, including changes in fair value of financial assets, amounted to SEK 16,179 million (11,549).
• • The profit per share was SEK 61.29 (43.74).
• • The Board proposes that the Annual General Meeting decide on a cash dividend amounting to SEK 2.00 (1.70) per share. The Board also proposes that the Annual General Meeting to be held on 15 May decide on a continued mandate to repurchase a maximum of 10% of the Company's own shares. A mandate to repurchase shares gives the Board flexibility to continuously decide on changes to the capital structure during the year.

TOTAL RETURN

During the last 30 years, the Kinnevik share has generated an average total return of 21% annually as a result of rising share prices and dividends, including the value of subscription offers. During the past five years, the corresponding figure is 46%. For 2007 the total return was 29%. The calculation of the total return is based on the assumption that shareholders retained their allotment of shares in Tele2 AB ("Tele2"), Modern Times Group MTG AB ("MTG"), Metro International S.A. ("Metro"), Transcom WorldWide S.A. ("Transcom") and Invik & Co. AB.

BUSINESS AREA STRUCTURE

From the second quarter of 2007, Kinnevik reports its operations in the following three comprehensive business areas:

Major Unlisted Holdings, which comprises Korsnäs.

Major Listed Holdings, which comprises Millicom International Cellular S.A. ("Millicom"), Tele2, MTG, Metro and Transcom.

New Ventures, which are described in the table on page 9 and the ensuing text.

The Parent company and other group companies are reported under Parent Company and Other.

For comments on the result for the period, refer to each business area.

THE GROUP'S CASH FLOW AND INVESTMENTS

The Group's cash flow from current operations excluding change in working capital amounted to SEK 1,130 million (1,078) for the year. This year's cash flow from operations was negatively affected by SEK 155 million pertaining to payments for provisions made in previous years. Changes in working capital amounted to a negative of SEK 252 million (positive 455). Of the year's negative changes, SEK 231 million represents changes in inventories, which is primarily explained by higher level of purchase of felling rights and pulpwood.

Received payment for the sale of the Swedish farm Ullevi (Agrovik AB) amounted to SEK 81 million including transfer of bank loans amounting to SEK 25 million. The Group also received SEK 1,089 million for the sale of shares in Invik & Co. AB.

Investments in tangible fixed assets amounted to SEK 353 million (308) during the year.

Change compared to SEK million Reported Proportional part of Jan-Dec 2006 Jan-Dec 2007 Equity interest revenue EBIT1) revenue EBIT revenue EBIT Korsnäs 100.0% 7 519 836 7 519 836 5% -3% Millicom 36.9% 17 787 4 482 6 564 1 654 67% 50% Tele2 28.0% 43 420 2 061 12 158 577 1% -11% MTG 15.0% 11 351 2 027 1 703 304 12% 14% Metro 44.1% 3 062 -140 1 350 -62 9% -258% Transcom 17.3% 5 541 333 959 58 11% -5% New Ventures - 425 -234 182 -20 54% N/A Total sum of Kinnevik's proportional part of revenue and operating result 30 435 3 347 13% 12%

KINNEVIK'S PROPORTIONAL PART OF REVENUE AND OPERATING RESULT IN ITS HOLDINGS

1) Excluding write-down of goodwill and net loss from sale of operations of SEK 576 million (2,427) in Tele2.

The table above is a compilation of the holdings' revenues and operating result reported for 2007.

Revenues and operating result reported by the companies have been multiplied by Kinnevik's ownership share, thereby showing Kinnevik's proportional share of the companies' revenues and operating result.

The proportional share of revenues and operating result has no connection with Kinnevik's accounting and is only additional information.

Investments in and sales of securities are shown in the tables below.

Investments in securities

1 Jan - 31 Dec 2007	Number	Amount (SEK million)
Bayport		101
Black Earth Farming Ltd	7 376 900	278
Gateway TV		89
Relevant Traffic Europe AB		16
Kontakt East Holding AB	1 469 943	35
Other		11
		530
1 Jan - 31 Dec 2006
Black Earth Farming Ltd	16 780 800	215
Kontakt East Holding AB	1 440 000	34
Relevant Traffic Europe AB		28
Other		11
		288

Sales of securities

1 Jan - 31 Dec 2007	Number	Amount (SEK million)
Invik & Co. AB	4 519 230	1 089
Phonera AB	4 357 952	6
Valvosacco SpA		25
Other		11
		1 131
1 Jan - 31 Dec 2006
Phonera AB	2 680 000	4
		4

THE GROUP'S FINANCIAL POSITION

The Group's available liquidity, including short-term investments and available credit facilities, totalled SEK 2,481 million at 31 December 2007 and SEK 929 million at 31 December 2006.

The Group's interest-bearing net debt amounted to SEK 9,205 million at 31 December 2007 and SEK 9,856 million at 31 December 2006. Of the total net debt at 31 December 2007, SEK 6,534 million pertained to external net debt within Korsnäs or with shares in Korsnäs as collateral, and SEK 2,753 million of the net debt was pledged by shares within Major Listed Holdings.

The net debt in relation to the market value of assets within Major Unlisted Holdings and Major Listed Holdings has developed according to the charts below.

(SEK million)

All loans have fixed interest terms of no longer than three months and carry an interest rate according to Stibor or similar base rate and an average margin of 0.6%. Of the Group's interest expenses and other financial costs of SEK 483 million (354), interest expenses amounted to SEK 458 million (322) and exchange rate differences was a negative SEK 10 million (negative 3). This means that the average interest rate for the year was 4.6% (3.5%) (calculated as interest expense in relation to average interest-bearing liabilities). The higher interest costs were primarily due to increased borrowing in connection with the acquisition of Frövi on 1 June 2006 and the higher level of interest rates.

At 31 December, the average remaining duration for all credit facilities amounted to 3.2 years. The Group's borrowing is primarily arranged in SEK. On an annual basis, the net flow in foreign currencies is a net inflow of about SEK 1,200 million, comprised mainly of Korsnäs' sales in Euro.

BOOK AND FAIR VALUE OF ASSETS

	Class A shares	Class B shares	Equity interest %	Voting interest %	Book value 31 Dec 2007 (SEK m)	Fair value 31 Dec 2007 (SEK m)	Change in stock price since 31 Dec 20061)
Major Unlisted Holdings
Korsnäs Industrial and Forestry 2)			100	100	6 699	11 2383)
Bergvik Skog			5	5	421	4215)
Interest bearing net debt relating to Korsnäs					-6 534	-6 534
Total Major Unlisted Holdings					586	5 125
Major Listed Holdings 6)
Millicom	37 835 438		36.9	36.9	28 301	28 301	73%
Tele2	25 830 229	99 651 296	28.0	45.1	16 218	16 218	31%
MTG	9 676 943	258 068	15.0	47.7	4 491	4 491	2%
Metro	103 408 698	129 138 208	44.1	39.2	1 140	1 140	-46%
Transcom	12 627 543		17.3	34.7	611	611	-39%
Interest bearing net debt relating to Major Listed Holdings					-2 753	-2 753
Total Major Listed Holdings					48 008	48 008
New Ventures
Rolnyvik			100	100	178	2504)
Black Earth Farming		24 157 700	20	20	1 208	1 2086)
Sia Latgran			51	51	143	1434)
Relevant Traffic			36	36	44	444)
Kontakt East		2 909 943	21	21	81	816)	-32%
Gateway TV			11	-	84	84
Bayport					97	97
Interest bearing net debt relating to New Ventures					-99	-99
Total New Ventures					1 736	1 808
Other assets and liabilities					-76	0
Total equity/net asset value					50 254	54 941
Net asset value per share, SEK						208.1
Closing price class B share 31 December 2007, SEK						146.75

1) Including dividends received.

2) Including 41% of the shares in Karskär Energi.

3) Consensus among analysts covering Kinnevik.

4) Estimated value.

5) Corresponding to 5% of the company's equity.

6) Listed holdings are reported at market value.

MAJOR UNLISTED HOLDINGS – KORSNÄS

Korsnäs and its subsidiaries conduct operations in the production of virgin fiber-based packaging material mainly for consumer products at the two mills in Gävle and Frövi. Korsnäs also owns 5% of the shares in Bergvik Skog.

Korsnäs revenue and result for the year and for the fourth quarter amounted to:

(SEK million)	Jan-Dec		Oct-Dec
	2007	20061)	2007	20061)
Revenue	7 519	7 134	1 821	1 722
EBITDA	1 449	1 490	161	239
Operating profit
(EBIT)	836	865	7	78

1) 2006 pro forma including Frövi, excluding restructuring costs of SEK 183 million in Q4.

Korsnäs Industrial

The healthy demand for Korsnäs products that characterized 2006 continued also in 2007. Delivery volumes for paper, pulp and board products rose for the full year by 3.5% to 1,073 thousand tons compared with a year earlier. Excluding fluff pulp (production was discontinued in April 2006), the increase in sales of remaining product areas was 5.1%.

Korsnäs' deliveries of liquid packaging board rose during 2007 and accounted for 69% of the total sales volume for the year. Korsnäs has multi-year contracts with a number of customers covering delivery of liquid packaging board. Prices have been stable.

Korsnäs' deliveries of White Top Liner declined as planned during the year since deliveries outside Europe, in principle, were discontinued due to the low profitability compared with the rest of the product range. Korsnäs' deliveries to the main markets in Europe represent approximately 15% of Korsnäs' total sales volume. As a result of the favorable demand, it was possible to raise prices during the year.

Competition within Cartonboard has increased in recent times, mainly as a result of imports from such low-cost countries as Brazil and Chile, the weakened US dollar and increased production capacity, both in and outside Europe. Despite this intensified competition, Korsnäs succeeded in increasing its deliveries of Cartonboard by 18% during 2007 compared with 2006 and the product area now represents about 10% of total sales volume. Growth was primarily driven by the newly introduced grade Frövi White. Prices were increased for all Cartonboard products during 2007.

The market situation for sack and kraft paper in Europe remained strong during the year. It was possible to increase prices in both the sack and kraft paper areas. During the year, Korsnäs discontinued the production of brown paper to focus entirely on white paper.

Total production during the year amounted to 1,069 thousand tons, which is 1.1% more than in 2006 (an increase of 2.0%, if fluff pulp, which was discontinued in 2006, is excluded). This represents a record for board and paper production both in Gävle, with total production of 677 thousand tons, and in Frövi, with total production of 392 thousand tons. The production record for the entire year was achieved despite certain disruptions in production during the fourth quarter. A number of minor production disruptions, which were partly due to start-up problems after the annual maintenance shutdown, resulted in a production loss of 15- 20 thousand tons compared to budget. Following the disruptions, the routines have been reviewed in order to, if possible, avoid similar problems in the future.

The earnings improvement program initiated in conjunction with the acquisition of Frövi, with the aim of realizing synergy effects between the two mills in Gävle and Frövi, within production, purchasing and other support functions, among other areas, has proceeded during the year. During the course of this work, Korsnäs has increased its ambitions and revised its goals for earnings improvements, which are now more than SEK 200 million in full-year effect for 2008 and are expected to increase further in 2009. The earnings improvement program has had a positive impact on results in 2007 of about SEK 95 million.

Korsnäs Industrial's revenues amounted to SEK 6,625 million, an increase of 4% compared with pro forma SEK 6,392 million in 2006. The operating profit amounted to SEK 745 million, compared with pro forma SEK 821 million for 2006. The profit for full-year 2007 includes positive one-off items of approximately SEK 60 million. Costs for pulpwood and external pulp, which have increased and now represent about 40% of the operating costs excluding depreciation for full-year 2007, had a negative impact on revenue of approximately SEK 350 million compared with pro forma 2006.

The operating result for the fourth quarter amounted to SEK 2 million (53). The operating result in the fourth quarter include positive one-off items of about SEK 25 million. The earnings decline compared with a year earlier is attributable primarily to the production disturbances described above and higher prices for pulpwood. Similar to the preceding year, earnings in the fourth quarter were also affected by maintenance costs of about SEK 100 million in conjunction with the planned stops in Gävle and Frövi, as well as the effect of lower production due to the maintenance stop.

The price increases for pulpwood, as well as higher prices for energy, are expected to continue to adversely affect earnings next year. Announced price increases on parts of the product range are not expected to compensate for higher prices on raw materials. However, it is anticipated that continued positive effects of the ongoing earnings enhancement program will offset part of the increase in raw material prices, but with current visibility of wood prices margins will be negatively affected during 2008.

Korsnäs Forestry

Timber prices increased during 2007 to record-high levels. This applies mainly to the Baltic States and Russia, but the price levels are also high in Sweden. Korsnäs' inventories of hardwood and softwood fiber at year-end are normal.

Korsnäs Forestry's revenues during the year amounted to SEK 2,207 million (1,817), of which internal sales to Korsnäs Industrial totaled SEK 1,313 million (1,075). Operating profit was SEK 91 million (44). The improved operating profit was partly attributable to the capital gain of SEK 26 million pertaining to the sale of land, and partly attributable to the higher market prices for felling rights and timber and is to a certain extent a temporary effect due to sales from stock that was purchased at earlier applicable prices.

MAJOR LISTED HOLDINGS

The market value of the Group's securities in remaining Major Listed Holdings increased by 40% during the year, corresponding to SEK 14,606 million, including dividends received. On 31 December 2007, the market value of the Major Listed Holdings was SEK 50,761 million (SEK 36,459 million 31 December 2006). On 18 February 2008 the market value of the Major Listed Holdings was SEK 45,805 million, corresponding to a decrease of SEK 4,956 million since beginning of the year in a globally weak stock market. The changes in value are shown in the consolidated income statement; refer to table on page 20 for split per holding.

On 26 April, Kinnevik signed an agreement to sell all its shares in Invik & Co. AB ("Invik") for a total consideration of SEK 1,089 million, corresponding to SEK 253 for each class A share and SEK 230 for each class B share. The change in market value of the sold shares in Invik was SEK 407 million during 2007.

Dividends received from Major Listed Holdings totalled SEK 304 million (485), of which SEK 230 million (220) were received from Tele2, SEK 74 million (225) from MTG and SEK 0 million (40) from Transcom.

Millicom

USD million	2007	2006
Revenue	2 631	1 576
EBITDA	1 114	717
Operating profit (EBIT)	663	441
Net profit	697	169
Number of subscribers (million)	23.4	14.9

The market value of Kinnevik's shareholding in Millicom amounted to SEK 28,301 million on 31 December 2007. Millicom's shares are listed on NASDAQ in New York and is included in NASDAQ 100 and the Stockholm Stock Exchange's Nordic list for large-cap companies in the telecommunications services sector.

Millicom offers affordable and easily accessible mobile telephone services to all market segments in 16 countries in Latin America, Africa and Asia, which combined represent an overall market of 287 million people. All Millicom's 16 operations now feature GSM networks.

In 2007, Millicom increased its investments significantly in all regions and continued the successful launch of its GSM brand "tigo" in all regions with emphasis on Africa. In total, Millicom invested USD 1,000 million in 2007. On 31 December 2007, Millicom had 23.4 million (14.9 million 31 December 2006) subscribers in countries where the company has continued operations, which is an increase of 57% since 31 December 2006. Of the total number of subscribers, 96 % had at the end of 2007 prepaid subscriptions.

Millicom's Board of Directors is recommending a special dividend of USD 2.40 per share to be paid following ratification at the Annual General Meeting in May 2008.

Tele2

SEK million	2007	2006
Revenue 1)	43 420	43 098
EBITDA 1)	6 647	5 776
Operating profit (EBIT) 1) 2)	2 061	2 321
Net profit	-1 769	-3 740
Number of subscribers (million) 1)	24.7	25.8

1)Remaining operations.

2) Excluding write-down of goodwill and sale of operations.

The market value of Kinnevik's shareholding in Tele2 amounted to SEK 16,218 million on 31 December 2007. Tele2's shares are listed on the Nordic list for large-cap companies in the telecommunications services sector.

Tele2 offers products and services in fixed and mobile telephony, broadband and cable TV to 24.7 million customers in 17 countries. The future of Tele2 is more focused than today concentrating the geographical footprint towards Eastern Europe and the Nordic countries. As a phase in the strategy to focus on core operations and reduce the geographic distribution, the company signed a number of agreements during 2007 to divest parts of its operations. In 2007, Tele2 signed agreements to exit a number of European markets including Denmark, Portugal, Hungary, Italy, Spain and Austria.

Mobile telephony continued to deliver robust growth and profitability improvement in 2007 in the Nordic region as well as in Russia and the Baltic countries. In Norway, Tele2 Norway AS and Network Norway AS entered into an agreement to build the third mobile network in Norway via a 50/50 owned network company, AMI AS, AMI being the owner of a GSM 900 license. In Russia, Tele2 signed a 10-year national roaming agreement with Vimpelcom. In connection with the signing of this agreement, Tele2 agreed to sell its operation in the Russian region of Irkutsk. At year-end 2007, the Baltic States and Russia market area had more than 12 million mobile customers out of a total of 17 million mobile customers in entire Tele2.

In Sweden, the sale of mobile broadband and 3G services picked up significantly in the second half of 2007 and at the end of 2007, Tele2 had 93,000 mobile broadband customers in Sweden.

Tele2's Board of Directors proposes an ordinary dividend of SEK 3.15 (1.83) per share. The Board of Directors also proposes a special dividend of 4.70 to7 (21)

gether with the authorisation to purchase up to 10% of the shares in the company.

MTG

SEK million	2007	2006
Revenue	11 351	10 136
Operating profit(EBIT)	2 027	1 777
Net profit	1 428	1 499

The market value of Kinnevik's shareholding in MTG amounted to SEK 4,491 million on 31 December 2007. MTG's shares are listed on the Stockholm Stock Exchange's Nordic list for large-cap companies in the consumer discretionary sector.

MTG is an international entertainment broadcasting group with its core business in television. MTG is the largest Free-to-air-TV and Pay-TV operator in Scandinavia and the Baltics and the largest shareholder in Russia's largest independent television network CTC Media. Viasat's channels are distributed on the Viasat platform and in third party networks in 24 Nordic, Baltic and Eastern European countries and reach a 100 million people.

In 2007, MTG gained audience and market shares in the majority of its markets and added subscribers to the Viasat platform. MTG launched new channels in Denmark and Norway.

Penetration in Eastern Europe and Russia increased further in 2007 and MTG also established a joint-venture in the Ukraine to launch the first digital premium DTH satellite TV operator.

MTG is committed to become the leading online provider of products and services with a high potential for profitability in the Nordic Region and MTG made a number of acquisitions during the year.

The MTG Board of Directors resolved to utilize the authorization provided by the 2007 Annual General Meeting and bought back 719,000 MTG Class B shares in 2007 at an average price of SEK 427 per share. The intention is to seek approval to cancel the purchased shares at the next General Meeting of shareholders.

MTG's Board of Directors will propose an ordinary dividend of SEK 5 per share and an extraordinary dividend of SEK 10 per share to the Annual General Meeting.

Metro

USD million	2007	2006
Revenue	453	417
Operating profit(EBIT)	-21	17
Net profit	-28	13
Number of daily readers (million)	23	20

The market value of Kinnevik's shareholding in Metro amounted to SEK 1,140 million on 31 December 2007. Metro's shares are listed on the Stockholm Stock Exchange's Nordic list for mid-cap companies in the consumer discretionary sector.

Metro is the world's largest international daily newspaper. Metro is published in over 100 major cities in 21 countries across Europe, North & South America and Asia. Metro has a unique global reach – attracting a young, active well-educated metropolitan audience of over 20 million daily readers. The newspapers are distributed free of charge and revenue is generated primarily through advertising sales.

In July, the Board of Directors of Metro appointed a new CEO, Per Mikael Jensen, who took up the position on 1 November. Per Mikael Jensen was previously head of Danish TV2 and before that Global Editor at Metro International.

The environment in which Metro is operating is changing fast. The number of free newspaper competitors is increasing in most markets and online development and ongoing media convergence impact Metro's business strategy. These various changing factors not only pose a threat to current strategy but also highlight new opportunities for development and growth.

In order to ensure that the resources of Metro are invested in the most efficient way the Board of Directors conducted a strategic review in the autumn of 2007. As a step in the strategic refocusing process, Metro announced in December that it had sold 60% of its Czech operation to MAFRA, the leading publishing group in the Czech Republic. Metro also decided to suspend the door-to-door distribution of the real estate edition Metro Bostad in Stockholm for 2008. In addition, Metro announced an efficiency drive in the US operation. The cost savings are expected to be USD 4.6 million annually.

Transcom

Euro million	2007	2006
Revenue	599	540
Operating profit(EBIT)	36	38
Net profit	24	28
Number of employees	17 200	13 200

The market value of Kinnevik's shareholding in Transcom amounted to SEK 611 million on 31 December 2007. Transcom's shares are listed on the Nordic list for mid-cap companies in the industrials sector.

Transcom is a rapidly expanding company within outsourcing of Customer Relationship Management (CRM) and Credit Management Services solution provider with 73 sites employing more than 17,200 people delivering services from 29 countries. The company provides CRM solutions for companies in a number of of industry sectors including telecommunications and e-commerce, travel & tourism, retail, financial services and utilities.

In 2007, Transcom developed its operation in Poland through the acquisition of a local debt collection company with about 70 employees and by opening a new call-centre in Gdansk. New call-centres were also established in Chile and Lithuania.

In the second half of 2007, Transcom acquired Nu-Comm, one of the leading North American providers of contact centre solutions with approximately 3,000 employees in Canada, the USA and the Philippines, which will enable Transcom to develop its global business partnerships and expand collections in the North American market. In addition, Transcom acquired IS Inkasso, Austria's largest debt collection company with 130 employees, providing Transcom with a strong presence in Central Europe and the ability to capture growth in the fast growing East European economies. Transcom also signed a strategic multi-million Euro agreement with Tiscali UK for CRM and collection services.

NEW VENTURES

Equity and voting interest	Business	Investment class	Initial investment	Invested amount (SEK million)
100%	agricultural operations in Poland	subsidiary	2001	174
20%	agricultural operations in Russia	listed associate	Q1 2006	493
51%	pellets production in Latvia	subsidiary	2005	11
36%	search marketing in Europe	unlisted associate	Q3 2006	44
21%	search and guidance media in Russia	listed associate	Q4 2006	69
11%/0%	pay-TV in sub Saharan Africa	interest bearing receiva ble/shares at fair value	Q2 2007	89
-	micro credits in sub Saharan Africa	interest bearing receiva ble/warrants at fair value	Q3 2007	101

Within New Ventures, Kinnevik invests in sectors and markets characterized by high growth potential. Investments to date are in growth markets in which Kinnevik has a long tradition and a strong platform to capitalize on existing growth possibilities. Kinnevik's new investments shall have a substantial market potential and the investments must have the conditions to grow through market growth and scalability. Kinnevik invests at an early stage and is an active owner.

The operating profit for New Ventures amounted to SEK 23 million (10), of which SEK 16 million (4) related to Rolnyvik and SEK 9 million (10) related to Sia Latgran. The change in fair value of financial assets totalled SEK 702 million (27) where SEK 717 million (0) related to Black Earth Farming and a negative amount of SEK 15 million (positive 27) related to Kontakt East.

Rolnyvik

A long and cold but stable winter followed by a late, but warm and dry spring, did not create the best conditions for a good harvest. When the summer became the warmest and driest in a long time and the autumn was rainy, the result was a low harvest but with generally good to excellent quality. Due to the generally low harvests, the demand for the company's products was favorable. Low inventories and rising demand in Poland as well as in the rest of Europe resulted in rapidly rising prices. Therefore, despite the negative production factors, Rolnyvik reported its best operating profit, SEK 16 million (4), since the farms were acquired in 2001/2002. The company's sales amounted to SEK 64 million (53).

Black Earth Farming

Black Earth Farming continued to develop favorably during 2007. At year-end, the company controlled 308,000 hectares of arable land, an increase of 188,000 hectares during 2007. The company is continuing to acquire land, since the price level is still considered attractive. Continuing acquisitions will be concentrated to areas in which the company is already represented.

During 2007, 52,000 hectares were harvested by the company, mainly wheat, barley and oil-yielding plants. During the autumn, 60,000 hectares of wheat and oil-yielding plants were sown for harvest next year. In addition, a further 90,000 hectares of land were prepared to be sown in 2008.

During the year, Kinnevik, through participation in new issues in September and December and purchases on the market, invested an additional SEK 278 million in Black Earth Farming. Consequently, the amount invested totals SEK 493 million.

Black Earth Farming was listed on 28 December 2007 on First North in Sweden. In conjunction with the listing, the company effected a new issue of SEK 1,680 million at a subscription price of SEK 50 per share. The issue, which was heavily oversubscribed, provided the company about 5,000 new owners and the capital for continued rapid growth. The market value of Kinnevik's holding of shares in Black Earth Farming amounted to SEK 1,208 million at 31 December 2007. At 18 February 2008 the market value of Kinnevik's holding amounted to SEK 1,528 million.

Sia Latgran

Pellets production by the Latvian company, Sia Latgran, amounted to 70,000 tons, which is 6% higher than in 2006. Raw materials costs rose sharply during the beginning of the year, but during the latter part of the year this tendency weakened due to a rapid drop in the business climate for construction. The market for pellets is characterized by continued growing demand. However, spot prices declined during the year due to a weak US dollar resulting in increasing import from North America to Europe.

A second pellet plant is being built at a total investment of approximately SEK 120 million. The new plant will have an annual production capacity of approximately 110,000 tons. The plant is scheduled to start operations in March 2008.

Sia Latgran's total revenues during the year amounted to SEK 82 million (44) and operating profit was SEK 9 million (10).

Relevant Traffic

Relevant Traffic is a European full-service company within search marketing. The company has about 75 employees in its offices in Sweden, France, Germany, Spain, the UK, Norway and Denmark. Customers comprise e-trading companies, banks, travel companies and niche companies that wish to be available when someone seeks their services and products in search engines or price comparison sites. Relevant Traffic's business concept is to maximize its customers' yield on implemented marketing by providing relevant traffic, which includes search engines and price comparison services. The company's proprietary technical platform and international presence, combined with personnel that are fluent in most European languages, provide the company international competitiveness, which is reflected in the fast growth of the company.

Relevant Traffic reported revenue of SEK 114 million (57) during the first eight months of the split financial year May 2007-April 2008.

Kontakt East

Kontakt East is a Swedish holding company that invests in companies active in search and guidance media in Russia and neighboring markets.

In August, Kontakt East acquired all outstanding shares in YPI Yellow Pages Russia ("Yell.ru") for a total purchase consideration of approximately USD 18 million in cash and new share issues. The acquisition strengthened Kontakt East's existing operations within search services in Russia and today, the company is the leading player within guidance media in Russia.

At the beginning of October, Kontakt East launched its e-trade service through the www.avito.ru website, which offers a broad range of classified advertisements and internet-based auctions. Through the integration of www.avito.ru with current search and catalog services online, Kontakt East will be able to offer Russian companies and consumers completely new services, which will facilitate the sale of products and services on the Internet. The launch of Avito.ru has been successful and Avito.ru is the fastest growing marketplace on the Internet in Russia.

During the autumn, Kontakt East concluded a longterm agreement with SUP, a leading Russian media company, whose operations include LiveJournal – Russia's largest blog platform and one of the ten largest sites in Russia. The cooperation between the two companies involves Kontakt East's new, Internet-based marketplace Avito.ru and LiveJournal.ru. As a result of the agreement, Avito becomes an integrated segment of LiveJournal.ru and will function as LiveJournal's buy and sell market.

In December, Kontakt East carried out a new issue that generated proceeds of SEK 102 million for the company. Kontakt East's shares are listed on the First North Exchange in Sweden. During the year, Kinnevik, through participation in the new issue and purchases on the market, invested an additional SEK 35 million in Kontakt East. The market value of Kinnevik's holdings in Kontakt East amounted to SEK 81 million on 31 December 2007. At 18 February 2008 the market value of Kinnevik's holding amounted to SEK 79 million.

Gateway TV

In May, Kinnevik invested USD 13 million in Gateway TV, a company operating within pay-TV in Sub-Saharan Africa. Gateway TV owns a number of broadcasting rights including the English Premiership League. The company is launching its satellite based Pay-TV service to a large number of Sub-Saharan markets and was at the end of 2007 represented in eight countries. The market potential for a competitively priced TV service is assessed as highly favorable and the subscriber growth is fast although as yet at low levels.

Bayport

During the second half of the year, Kinnevik invested USD 15 million in the African company Bayport. The investment consists of a combination of loan and warrants.

Bayport offers micro credits and financial services in Ghana, Uganda, Zambia and Tanzania. Ghana and Zambia are the largest markets, while Tanzania is showing rapid growth. Bayport was founded in 2002 and has, with profitability, grown into a leading African micro credit company. The product portfolio is being continually expanded, primarily with loans of a longer duration. The loans are applied mainly to finance large one-off expenditures such as school fees, investments in agriculture or to start a small company.

PARENT COMPANY AND OTHER

The administration costs within the Parent Company and the Group's other companies amounted to a net expense of SEK 44 million (expense of 62) after invoicing for services performed. Other operating income includes a gain on the sale of the Swedish farm Ullevi (Agrovik AB) of SEK 70 million.

RISK MANAGEMENT

The Group's financing and management of financial risks is centralized within Kinnevik's finance function and is conducted on the basis of a finance policy established by the Board of Directors. The Group's operational risks are primarily evaluated and managed within the particular business area and then reported to the Kinnevik Board.

The Group has established a model for risk management, the aims of which are to identify, control and reduce risks. The identified risks and how they are managed are reported to the Kinnevik Board on a quarterly basis.

Kinnevik's wholly owned subsidiary Korsnäs accounts for most of the operational risks and they are mainly related to customers and suppliers and the risk for a major accidents in the production plants.

Kinnevik is exposed to financial risks mainly in respect of changes in the value of the stock portfolio, changes in market interest rates, exchange rate risks and liquidity and refinancing risks.

The group is also exposed to political risks since the companies Kinnevik has invested in have a substantial part of their operations in emerging markets such as Latin America, Africa and Russia.

For a more detailed description of the company's risks and risk management, refer to the Board of Directors' report and Note 30 of the 2006 Annual Report.

ACCOUNTING PRINCIPLES

The consolidated financial statements are prepared in accordance with the International Financial Reporting Standards (IFRS), as adopted by the EU. This report was prepared in accordance with the Annual Accounts Act and IAS 34, Interim Financial Reporting.

The accounting principles applied in this report are the same as those described in the 2006 Annual Report with the exception that unlisted associated companies within the New Ventures business area from 2007 are reported at fair value instead of previously in accordance with the equity method. This is a result of changed business structure and to provide a more accurate view of the value of New Ventures. A change in accounting principles for 2006 would have had a marginal effect on earnings, why comparable figures for 2006 have not been changed.

DIVIDEND

The Board proposes that the Annual General Meeting decide on a cash dividend of SEK 2.00 (1.70) per share.

The Board also proposes that the Annual General Meeting to be held on 15 May decide on a continued mandate to repurchase a maximum of 10% of the Company's own shares. A mandate to repurchase shares gives the Board flexibility to continuously decide on changes to the capital structure during the year.

KINNEVIK'S ANNUAL GENERAL MEETING 2008

The 2008 Annual General Meeting will be held on Thursday 15 May 2008 at 9:30 a.m. at the Rival Hotel, Mariatorget 3 in Stockholm.

Shareholders wishing to have a matter considered at the Annual General Meeting should submit their proposals in writing to agm@kinnevik.se or to The Company Secretary, Investment AB Kinnevik, Box 2094, SE-103 13 Stockholm, Sweden, at least seven weeks before the Annual General Meeting (27 March) in order to guarantee that the proposal may be included in the notice to the meeting.

Further details on how and when to register will be published in advance of the Annual General Meeting.

NOMINATION COMMITTEE FOR THE 2008 ANNUAL GENERAL MEETING

A Nomination Committee of major shareholders in Kinnevik has been convened in accordance with the resolution of the 2007 Annual General Meeting. The Nomination Committee is comprised of Cristina Stenbeck on behalf of Emesco AB and other shareholders, Wilhelm Klingspor on behalf of the Klingspor family, Edvard von Horn on behalf of the von Horn family, Peter Lindell on behalf of AMF Pension, Tomas Nicolin on behalf of Alecta and Marianne Nilsson on behalf of Swedbank Robur Fonder, who together represent more than 50% of the voting rights in Kinnevik. Information about the work of the Nomination Committee can be found on Kinnevik's corporate website www. kinnevik.se.

EVENTS AFTER THE END OF THE REPORTING PERIOD

In January 2008, Korsnäs, which previously owned 41% of the shares in Karskär Energi AB, reached an agreement to acquire the remaining 59% from E.ON Sverige AB for a consideration of SEK 200 million. The transaction covers a combined heating and power plant that has existed at the Korsnäs industrial area in Gävle since 1971. Karskär Energi produces 350 GWh of electricity annually and as a result of the acquisition Korsnäs will in the future produce 38% of the annual electricity consumption internally at the plants in Gävle and Frövi.

FINANCIAL REPORTS

The Annual Report for 2007 is scheduled to be released during March 2008 and will be available on the company's website.

The interim report for the period January-March 2008 will be published on 24 April 2008.

Stockholm, 19 February 2008

Board of Directors

Kinnevik discloses the information provided herein pursuant to the Swedish Securities Exchange and Clearing Operations Act and/or the Swedish Financial Instruments Trading Act. The information was submitted for publication at 8.00 CET on 19 February 2008.

FOR FURTHER INFORMATION, PLEASE VISIT WWW.KINNEVIK.SE OR CONTACT:

Mia Brunell Livfors, President and Chief Executive Officer, tel +46 (0) 8 562 000 00

Torun Litzén, Information and Investor Relations tel +46 (0) 8 562 000 83, mobile +46 (0) 70 762 00 83

Investment AB Kinnevik's objective is to increase shareholder value, primarily through net asset value growth. Kinnevik manages a portfolio of investments focused around three comprehensive business areas; Major Unlisted Holdings which includes the cartonboard and paper company Korsnäs, Major Listed Holdings which includes Millicom International Cellular, Tele2, Modern Times Group MTG, Metro International and Transcom WorldWide, and New Ventures investing in small and mid sized companies which have a significant growth potential. Kinnevik plays an active role on the Boards of its holdings.

Investment AB Kinnevik's class A and class B shares are listed on the Stockholm Stock Exchange's Nordic list for large-cap companies within the financial and real estate sector. The ticker codes are KINV A and KINV B.

REVIEW REPORT

We have reviewed the year-end report of Investment AB Kinnevik (publ) for the period 1 January to 31 December 2007. It is the Board of Directors and the CEO who are responsible for the preparation and presentation of this year-end report with application of the rules for interim financial reporting in IAS 34 and the Annual Accounts Act. Our responsibility is to express a conclusion on this interim report based on our review.

We conducted our review in accordance with Standard on Review Engagements SÖG 2410, "Review of Interim Financial Information Performed by the Independent Auditor of the Entity". A review consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope compared to an audit conducted in accordance with Standards on Auditing in Sweden RS and other generally accepted auditing practices. The procedures performed in a review do not enable us to obtain a level of assurance that would make us aware of all significant matters that might be identified in an audit. Accordingly, the conclusion expressed based on a review does not constitute the same level of assurance as a conclusion based on an audit.

Based on our review, nothing has come to our attention that causes us to believe that the year-end report is not prepared, in all material respects, for the Group in accordance with IAS 34 and the Annual Accounts Act and for the Parent Company in accordance with the Annual Accounts Act.

Stockholm, 19 February 2008 Ernst & Young AB

Erik Åström Authorized Public Accountant

CONDENSED CONSOLIDATED INCOME STATEMENT (SEK million)

	2007 Full year	2006 Full year 1)	2007 1 Oct 31 Dec	2006 1 Oct 31 Dec
Revenue	7 673	6 305	1 873	1 767
Cost of goods and service	-6 526	-5 404	-1 786	-1 698
Gross profit	1 147	901	87	69
Selling, administration, research			-118
and development costs	-455	-492		-193
Other operating income	251	116	37	11
Other operating expenses	-58	-46	-11	-9
Share of profit/loss of associated companies accounted for using the equity method 2)	-	-1	-	-2
Operating profit	885	478	-5	-124
Dividends received	310	488	0	0
Change in fair value of financial assets 2)	15 540	10 974	6 729	9 360
Interest income and other financial income	14	22	7	4
Interest expenses and other financial expenses	-483	-354	-136	-104
Profit/loss after financial items	16 266	11 608	6 595	9 136
Taxes	-87	-47	52	56
Net profit for the period from continuing operations	16 179	11 561	6 647	9 192
Net loss from discontinued operations	-	-12	-	0
Net profit for the period	16 179	11 549	6 647	9 192
Of which attributable to:
Equity holders of the Parent Company	16 178	11 547	6 648	9 192
Minority	1	2	-1	0
Earnings per share before/after dilution, SEK:
– from continuing operations	61.29	43.79	25.18	34.82
– from discontinued operations	-	-0.05	-	-
Average number of shares before/after dilution	263 981 930	263 981 930	263 981 930	263 981 930

1) Comparable figures for 2006 includes Korsnäs Frövi from 1 June.

2) Earnings from participations in companies reported in accordance with the equity method have been reversed in earlier reporting periods in 2007 as a result of a change in accounting principles, refer to Accounting principles.

CONDENSED CONSOLIDATED CASH-FLOW STATEMENT (SEK million)

	2007 Full year	2006 Full year
Operating profit	885	478
Adjustment for non-cash items	324	618
Taxes paid	-79	-18
Cash flow from operations before change in working capital	1 130	1 078
Change in working capital	-252	455
Cash flow from operations	878	1 533
Acquisition of subsidiaries	-	-3 638
Disposal of subsidiaries	81	606
Investments in tangible and biological fixed assets	-353	-308
Sales of tangible and biological fixed assets	35	16
Investments in shares and other securities	-530	-288
Sales of shares and other securities	1 131	4
Dividends received	310	263
Change in loan receivables	7	21
Interest received	14	22
Cash flow from investing activities	695	-3 302
Change in interest-bearing liabilities	-674	2 453
Interest paid	-458	-314
Dividend paid	-449	-422
Cash flow from financing activities	-1 581	1 717
Total cash flow from continuing operations	-8	-52
Cash flow in Korsnäs Packaging	-	29
Lending to Korsnäs Packaging	-	-79
Cash flow from discontinued operations	-	-50
Cash flow for the year	-8	-102
Exchange rate differences in liquid funds	3	-4
Cash and bank, opening balance	106	212 1)
Cash and bank, closing balance	101	106

1) Including cash and bank in discontinued operations, SEK 27 million.

CONDENSED SEGMENT REPORTING (SEK million)

1 Jan – 31 Dec 2007	Major Unlisted Holdings	Major Listed Holdings	New Ventures	Parent Company and other	Elimina tions	Total Group
Revenue	7 519		147	19	-12	7 673
Operating costs	-6 226		-117	-71	57	-6 357
Depreciation	-613		-10	-1		-624
Other operating income and expenses	156		3	79	-45	193
Operating profit	836		23	26	0	885
Dividends received	4	304		2		310
Change in fair value of financial assets	155	14 674	702	9		15 540
Financial net	-348	-125	4			-469
Profit/loss after financial items	647	14 853	729	37	0	16 266
Investments in financial fixed assets			519	11		530
Investments in tangible fixed assets	269		84			353

1 Jan – 31 Dec 2006	Major Unlisted Holdings	Major Listed Holdings	New Ventures	Parent Company and other	Elimina tions	Total Group
Revenue	6 193		96	28	-12	6 305
Operating costs	-5 228		-73	-93	12	-5 382
Depreciation	-505		-8	-1		-514
Other operating income and expenses	70		-4	4		70
Share of profit/loss of associated companies accounted for using the equity method			-1			-1
Operating profit	530		10	-62		478
Dividends received	3	485				488
Change in fair value of financial assets	47	10 902	27	-2		10 974
Financial net	-234	-98				-332
Profit/loss after financial items	346	11 289	37	-64		11 608
Investments in financial fixed assets			277	11		288
Investments in tangible fixed assets	302		5	1		308

The former two segments Korsnäs Industrial and Korsnäs Forestry are from the second quarter 2007 reported as one segment, Major Unlisted Holdings. Remaining operations in Mellersta Sveriges Lantbruk, which was earlier reported as one segment, is included in New Ventures.

CONDENSED SEGMENT REPORTING (SEK million)

1 Oct – 31 Dec 2007	Major Unlisted Holdings	Major Listed Holdings	New Ventures	Parent Company and other	Elimina tions	Total Group
Revenue	1 821		50	5	-3	1 873
Operating costs	-1 700		-36	-25	13	-1 748
Depreciation	-153		-3	0		-156
Other operating income and expenses	39		-7	4	-10	26
Operating profit	7		4	-16	0	-5
Dividends received						0
Change in fair value of financial assets	135	6 241	347	6		6 729
Financial net	-108	-27	6	0		-129
Profit/loss after financial items	34	6 214	357	-10	0	6 595
Investments in financial fixed assets	0	0	181	0		181
Investments in tangible fixed assets	101	0	20	0		121

1 Oct – 31 Dec 2006	Major Unlisted Holdings	Major Listed Holdings	New Ventures	Parent Company and other	Elimina tions	Total Group
Revenue	1 722		41	7	-3	1 767
Operating costs	-1 675		-27	-32	3	-1 731
Depreciation	-157		-2	-1		-160
Other operating income and expenses	7		-7	2		2
Share of profit/loss of associated companies accounted for using the equity method	-2					-2
Operating profit	-105		5	-24	0	-124
Dividends received
Change in fair value of financial assets	21	9 314	27	-2		9 360
Financial net	-70	-30	0	0		-100
Profit/loss after financial items	-154	9 284	32	-26	0	9 136
Investments in financial fixed assets			143	11		154
Investments in tangible fixed assets	169		1	1		171

Earnings from participations in companies reported in accordance with the equity method have been reversed in earlier reporting periods in 2007 as a result of a change in accounting principles, refer to Accounting principles. All holdings in associated companies within the New Ventures business area are reported at fair value through the income statement.

CONDENSED CONSOLIDATED BALANCE SHEET (SEK million)

Assets	2007 31 Dec	2006 31 Dec
Fixed assets
Intangible assets	621	621
Tangible and biological fixed assets	6 551	6 831
Financial assets accounted to fair value through profit
and loss	52 741	37 518
whereof interest-bearing	205	245
Investments in companies accounted for
using the equity method	75	333
Other fixed assets	6	12
	59 994	45 315
Current assets
Inventories	1 645	1 414
Trade receivables	721	679
Tax receivables	11	29
Other current assets	346	190
Short-term investments	29	-
Cash and cash equivalents	72	106
	2 824	2 418
TOTAL ASSETS	62 818	47 733
SHAREHOLDERS' EQUITY AND LIABILITIES
Shareholders' equity
Equity attributable to equity holders of the Parent
Company	50 254	34 411
Equity attributable to the minority	13	11
	50 267	34 422
Long-term liabilities
Interest-bearing loans	8 856	8 110
Provisions for pensions	534	549
Other provisions	77	207
Deferred tax liability	1 382	1 518
Other liabilities	4	4
	10 853	10 388
Short-term liabilities
Interest-bearing loans	121	1 548
Provisions	121	145
Trade payables	734	681
Income tax payable	166	8
Other payables	556	541
	1 698	2 923
TOTAL SHAREHOLDERS' EQUITY AND LIABILITIES	62 818	47 733

	2007 Full year	2006 Full year
Translation differences	30	2
Net gain of cash flow hedges	78	-
Actuarial profit/loss relating to pension provision in accordance with IAS 19	7	-16
Changes in assets recognised in equity, excluding transactions with the Parent Company's shareholders	115	-14
Net profit	16 179	11 549
Total changes in assets, excluding transactions with the Parent Company's shareholders	16 294	11 535
Equity attributable to the shareholders of the Parent Company	16 293	11 533
Equity attributable to the minority	1	2
Equity, opening balance	34 422	23 300
Total changes in assets according to statement above	16 294	11 535
Cash dividend	-449	-422
Minority's share in acquired companies	-	9
Equity, closing amount	50 267	34 422
Equity attributable to the shareholders of the Parent Company	50 254	34 411
Equity attributable to the minority	13	11
	2007 31 Dec	2006 31 Dec
KEY RATIOS
Debt/equity ratio	0.19	0.30
Equity ratio	80%	72%
Net debt	9 205	9 856

CONDENSED STATEMENT OF CONSOLIDATED RECOGNISED INCOME AND EXPENSE (SEK million)

DEFINITIONS OF KEY RATIOS

Debt/equity ratio	Interest-bearing liabilities including interest-bearing provisions divided by shareholders' equity.
Equity ratio	Shareholders' equity including minority as percentage of total assets.
Net debt	Interest-bearing liabilities including interest-bearing provisions less the sum of interest bearing receivables, short-term investments and cash and bank.
Operating margin	Operating profit after depreciation divided by revenue.
Operational capital employed	Average of intangible and tangible fixed assets, investments in companies accounted for using the equity method, inventories and short-term non-interest bearing receivables less other provisions and short-term non interest bearing liabilities.
Return on operational capital employed	Operating profit after depreciation divided by average operational capital employed.

FINANCIAL KEY RATIOS MAJOR UNLISTED HOLDINGS (SEK million)

	2007 Full year	2007 Q4	2007 Q3	2007 Q2	2007 Q1	2006 Full year1)	2006 Q41)	2006 Q31)	2006 Q21)	2006 Q11)
Revenue
Korsnäs Industrial	6 625	1 572	1 583	1 755	1 715	6 392	1 511	1 641	1 650	1 590
Korsnäs Forestry 2)	2 207	577	558	559	513	1 817	463	436	462	456
Eliminations within Korsnäs	-1 313	-328	-372	-313	-300	-1 075	-252	-271	-277	-275
Total Korsnäs	7 519	1 821	1 769	2 001	1 928	7 134	1 722	1 806	1 835	1 771
Operating profit/loss before depreciation (EBITDA)
Korsnäs Industrial	1 353	155	433	400	365	1 436	212	444	392	388
Korsnäs Forestry 2)	96	6	40	30	20	54	27	12	8	7
Total Korsnäs	1 449	161	473	430	385	1 490	239	456	400	395
Operating profit/loss after depreciation (EBIT)
Korsnäs Industrial	745	2	281	249	213	821	53	296	237	235
Korsnäs Forestry 2)	91	5	39	28	19	44	25	11	4	4
Total Korsnäs	836	7	320	277	232	865	78	307	241	239
Operating margin
Korsnäs Industrial	11.2%	0.1%	17.8%	14.2%	12.4%	12.8%	3.5%	18.0%	14.4%	14.8%
Korsnäs Forestry 2)	4.1%	0.9%	7.0%	5.0%	3.7%	2.4%	5.4%	2.5%	0.9%	0.9%
Korsnäs	11.1%	0.4%	18.1%	13.8%	12.0%	12.1%	4.5%	17.0%	13.1%	13.5%
Operational capital employed
Korsnäs Industrial	7 743	7 696	7 693	7 737	7 805	8 338	8 051	8 317	8 459	8 603
Korsnäs Forestry 2)	267	328	272	224	213	222	201	196	236	243
Total Korsnäs	8 010	8 024	7 965	7 961	8 018	8 560	8 252	8 513	8 695	8 846
Return on operational capital employed
Korsnäs Industrial	9.6%	0.1%	14.6%	12.9%	10.9%	9.8%	2.6%	14.2%	11.2%	10.9%
Korsnäs Forestry 2)	34.1%	6.1%	57.4%	50.0%	35.7%	19.8%	49.8%	22.4%	6.8%	6.6%
Korsnäs	10.4%	0.3%	16.1%	13.9%	11.6%	10.1%	3.8%	14.4%	11.1%	10.8%
Production, thousand tons	1 069	243	281	277	268	1 058	243	269	267	279
Deliveries, thousand tons	1 073	252	256	283	282	1 037	245	270	264	258

1) Pro forma including Frövi. Excluding restructuring charges of SEK 183 million in Q4 2006.

2) Figures for Korsnäs Forestry have been adjusted since Sia Latgran is from Q2 2007 included in New Ventures.

FINANCIAL KEY RATIOS MAJOR LISTED HOLDINGS (SEK million)

	2007					2006
	Full year	2007 Q4	2007 Q3	2007 Q2	2007 Q1	Full year	2006 Q4	2006 Q3	2006 Q2	2006 Q1
Change in fair value and dividends received
Millicom	11 974	7 454	-3 103	3 178	4 445	8 248	5 032	-1 003	-1 551	5 770
Tele2	3 899	-1 192	3 325	-53	1 819	2 102	3 262	157	-2 164	847
MTG	95	358	-258	407	-412	1 402	710	31	343	318
Metro	-976	-395	-105	-628	151	-925	46	-558	-307	-106
Transcom	-386	16	-106	-107	-189	211	89	-92	-57	271
Invik 1)	407	-	-	251	156	349	121	42	15	171
	15 013	6 241	-247	3 048	5 970	11 387	9 260	-1 423	-3 721	7 271
Book value end of the period
Millicom	28 301	28 301	20 847	23 950	20 772	16 326	16 326	11 294	12 296	13 848
Tele2	16 218	16 218	17 410	14 085	14 368	12 548	12 548	9 286	9 129	11 513
MTG	4 491	4 491	4 133	4 391	4 058	4 471	4 471	3 760	3 954	3 611
Metro	1 140	1 140	1 535	1 640	2 267	2 116	2 116	2 070	2 403	2 709
Transcom	611	611	595	701	808	998	998	909	1 001	1 099
Invik 1)	-	-	-	-	838	682	682	562	520	504
	50 761	50 761	44 520	44 767	43 111	37 141	37 141	27 881	29 303	33 284

1) On 28 June 2007, the entire holding in Invik was divisted.

NEW VENTURES (SEK million)

	2007 Full year	2007 Q4	2007 Q3	2007 Q1-Q2
Change in fair value through income statement1)
Black Earth Farming 2)	717	351	78	288
Kontakt East	-15	-4	9	-20
Unlisted holdings	0	0	0	0
	702	347	87	268
Book value end of period
Black Earth Farming 2)	1 208	1 208	704	500
Kontakt East	81	81	54	40
Unlisted holdings	546	546	495	380
	1 835	1 835	1 253	920

1) After change of accounting principle.

2) Listed on First North on 28 December 2007.

2007 Full year 2006 Full year 2007 1 Oct - 31 Dec 2006 1 Oct - 31 Dec Revenue 12 12 3 2 Administration costs -65 -85 -25 -29 Other operating income 7 3 3 1 Operating loss -46 -70 -19 -26 Dividends received 1 817 485 - 157 Result from financial assets 599 - 6 - Net interest income/expense -311 -196 -89 -245 Profit/loss after financial items 2 059 219 -102 -114 Change of untaxed reserves - 4 - 4 Profit/loss before tax 2 059 223 -102 -110 Taxes 102 -12 32 -11 Net profit/loss for the period 2 161 211 -70 -121

CONDENSED PARENT COMPANY INCOME STATEMENT (SEK million)

CONDENSED PARENT COMPANY BALANCE SHEET (SEK million)

	2007	2006
	31 Dec	31 Dec
ASSETS
Tangible fixed assets	2	2
Financial fixed assets	25 702	23 694
Short-term receivables	528	276
Cash and cash equivalents	1	-
TOTAL ASSETS	26 233	23 972
SHAREHOLDERS' EQUITY AND
LIABILITIES
Equity	18 860	16 785
Provisions	75	79
Long-term liabilities	4 699	5 518
Short-term liabilities	2 599	1 590
TOTAL SHAREHOLDERS' EQUITY AND LIABILITIES	26 233	23 972

The Parent Company's liquidity, including short-term investments and unutilized credit facilities totalled SEK 1,647 million at 31 December 2007 and SEK 311 million at 31 December 2006. The Parent Company's interest bearing external liabilities amounted to SEK 4,278 million (4,619) on the same dates.

Investments in tangible fixed assets amounted to SEK 0 (2) million during the year.

The Parent Company's total number of shares outstanding at 31 December 2007 was 263,981,930, of which 50,197,050 were class A shares and 213,784,880 class B shares, which is unchanged since 31 December 2006. One class A share entitles to 10 votes and one class B share to 1 vote. There are no convertibles or warrants in issue. The Board has authorization to repurchase a maximum of 10% of all shares in the Company. No repurchase has been made during the year.