Elanders AB (publ): Elanders continues its strategic focus by divesting Elanders Tryckeri AB in Kungsbacka and through this will no longer produce directories.

Elanders AB (publ): Elanders continues its strategic focus by divesting Elanders Tryckeri AB in Kungsbacka and through this will no longer produce directories.An agreement with the MD for Elanders Tryckeri AB in Kungsbacka, Leif Axelsson, has been reached for the purchase of the shares in the company.The transaction is expected to be completed by February 2007.The purchase sum and overtake of net debt amounts to approximately MSEK 30.The divestiture entails write-downs of assets etc. of MSEK 151 before tax (MSEK 140 after tax) in the annual accounts for 2006, This means that Group pre-tax profit in 2006 is preliminarily an estimated loss of MSEK -32 (MSEK -49 after tax) including this years' operating loss in Elanders Tryckeri AB of MSEK -32. Elanders does not expect any expenses during 2007 for the divestiture.Elanders will continue to be responsible for certain guarantee commitments amounting to MSEK 57 after the divestiture, primarily for equipment which is also the collateral for the commitments.Group cash flow is not affected by the expenses above.The divestiture requires approval by Elanders' shareholders and they will be called to an extra shareholders' meeting shortly. During the past 10 years Elanders has diligently worked to change its strategic focus. The Group has metamorphosed from a Swedish producer of telephone directories and similar products into a leading global supplier of product and user information to industrial and service companies. "Divesting Elanders Tryckeri AB in Kungsbacka allows us to concentrate on our international expansion in other operations where we see a better potential for growth and profitability. I am also convinced that being run by the owner will have a positive effect on the operations in Kungsbacka" says Patrick Holm, President and CEO of Elanders. Elanders Tryckeri AB has around 190 employees and a turnover of MSEK 380. "We have taken significant measures to make Elanders Tryckeri profitable", says MD Leif Axelsson. "I am convinced that with the competence in our operations we will be able to achieve a positive result this year and we can then further develop our business to improve competitive capacity and profitability. Except for the usual necessary adjustments we will not be cutting down on the number of employees". The report on the annual accounts will be presented on schedule on 31 January 2007. Elanders AB (publ)For further information please contact: Patrick Holm, President and CEO, Elanders AB, tel +46 (0) 31-750 07 50, mobile +46 (0) 708-21 04 10 or e-mail patrick.holm@elanders.com . Leif Axelsson, MD Elanders Tryckeri AB, tel +46 (0) 300- 501 77 or mobile +46 (0) 706- 70 30 39 or e-mail leif.axelsson@elanders.com . Mats Almgren, Chief Financial Office, Elanders AB, tel +46 (0) 31-750 07 60, mobile +46 (0) 705-18 19 36 or e-mail mats.almgren@elanders.com . The press release can be downloaded from the following link:Text version / Internet version / Print / Close