Results update 4th quarter 2010

Fourth quarter has been marked by a continuing weak

economy in a number of countries where Blom operates.

In our stock exchange notification dated 22nd October

2010 it was informed that Pictometry Inc. has

terminated their license agreement with Blom with

immediate effect. Blom consider this an unlawful

breach, and has accordingly initiated all steps

required to protect its position. However, the

termination has resulted in loss of revenue for the

company that will impact the result for the 4th

Quarter 2010. In addition, Blom acknowledges that the

uncertainty created around the license agreement with

Pictometry, may have impact on other contractual

obligations Blom has towards other customers and

partners, which may have negative consequences beyond

the loss of revenues experienced so far in the fourth

quarter.

As a consequence of the above the company may have

challenges to meet the covenants in its bond loan.

For further information please contact

CEO Dirk Blaauw tel. (+47) 22 13 19 20 or

CFO Lars Bakklund tel. (+47) 22 13 19 34.

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