SalMar ASA — Earnings Release 2009

Feb 24, 2010

SalMar Q4 2009 - Report and presentation

ANOTHER STRONG QUARTER FOR SALMAR

The SalMar Group made an operating profit of NOK 175.3 million in the fourth

quarter 2009, 30 per cent more than in the same quarter in 2008. SalMar Central

Norway continues to make progress and, on the back of further sound biological

developments and operational efficiency, and posted very strong results for the

quarter. SalMar Northern Norway had a challenging quarter, while stable prices

and cost levels led to good results in Scotland. For 2009 as a whole the SalMar

Group posted an operating profit of NOK 584.8 million, some 73 per cent up on

The board of directors is proposing a dividend payout of NOK 2.20 per share, a

total of NOK 226.6 million.

The SalMar Group generated gross operating revenues of NOK 756.5 million in the

fourth quarter 2009, compared with NOK 556.3 million in the same quarter in

2008. The Group made an operating profit before fair value adjustment of the

biomass of NOK 175.3 million in the fourth quarter 2009, compared with NOK

134.5 million in the same quarter in 2008. For SalMar Central Norway this

corresponded to an operating profit of NOK 10.54 per kg gutted weight in the

fourth quarter 2009, and NOK 1.03 for SalMar Northern Norway.

SalMar's CEO Leif Inge Nordhammer said: "The fourth quarter was a very good

quarter for SalMar Central Norway. Good biological development and a high level

of operational efficiency have reduced production costs compared both with the

same quarter in 2008 and the third quarter 2009. Contract prices for processed

products also made a positive contribution to the business's fourth-quarter

results. The sea lice situation is under control and all our sites have a lower

number of sea lice than the authorities' threshold.

"SalMar Northern Norway had a challenging quarter. Much of the volume in the

quarter was sold early in the quarter (when prices were at their lowest) and the

majority of the volume was from ISA sites with higher than normal production and

harvesting costs. SalMar Nord AS has now emptied all the sites where the ISA

previously had been identified.

"The salmon market is currently very strong, and so far in the first quarter

2010 both salmon prices and export volumes are at record levels for the time of

year. The global supply of salmon is expected to fall by around 5 per cent in

2010, which combined with strong demand gives reason to expect that salmon

prices should stabilise at relatively high levels for a long period of time."

SalMar owns 50 per cent of Norskott Havbruk AS, which operates fish farms in

mainland Scotland, the Orkneys and Shetland. The business generated gross

operating revenues of NOK 295.5 million in the fourth quarter 2009, and made an

operating profit before fair value adjustment of the biomass of NOK 52.2

million, up from NOK 10.1 million in the corresponding quarter in 2008.

SalMar's key figure for profit performance under IFRS is EBIT (operating profit)

before fair value adjustment of the biomass. Adjustment of the fair value of the

biomass results from the requirement to value biological assets (the biomass) at

fair value instead of cost price. SalMar reports EBIT before fair value

adjustment of the biomass in order to show the underlying performance of its

operations during the period.

The SalMar Group, including its 50 per cent share of Norskott Havbruk AS,

harvested some 23,900 tonnes gutted weight during the fourth quarter. SalMar

Central Norway harvested 16,500 tonnes, SalMar Northern Norway harvested 3,100

tonnes, while 4,300 tonnes was harvested in mainland Scotland/the

Orkneys/Shetland.

In 2010 SalMar expects to harvest around 85,000 tonnes gutted weight, with

SalMar Central Norway harvesting 56,000 tonnes and SalMar Northern Norway

17,000 tonnes, while Norskott Havbruk aims to harvest around 24,000 tonnes, of

which SalMar has a 50 per cent share, ie 12,000 tonnes.

During the quarter SalMar acquired 66 per cent of the shares in Volstad Seafood

AS, bringing SalMar's shareholding in the company to 100 per cent. The

transaction was completed on 1 December. The acquisition of Volstad Seafood AS

further strengthens SalMar's capacity and competence with regard to the sale and

distribution of Atlantic salmon, particularly in Asian markets.

SalMar considers the business outlook to be very positive. A sharp drop in

volumes from Chile has led to a reduction in the global supply, while demand

remains very strong. SalMar therefore believes there is reason to expect good

salmon prices both in the near and medium term. SalMar also believes that there

is considerable growth potential for the aquaculture industry in Norway.

For further information, please contact:

Leif Inge Nordhammer, CEO, +47 916 85 250, Roar Husby CFO, +47 982 06 974

or visit the company's website:www.salmar.no

This information is subject of the disclosure requirements acc. to §5-12 vphl

(Norwegian Securities Trading Act)

[HUG#1387758]