FINANCIAL RESULTS FOR THE FOURTH QUARTER AND TWELVE MONTHS ENDED DECEMBER 31, 2006 Trelleborg - February 20, 2007. PERGO AB (publ) (“Pergo” or “the Company”) (Nordic Exchange: PERG), a leading international flooring company, today announced its financial results for the fourth quarter and twelve months ended December 31, 2006. Pergo’s consolidated accounts have been prepared according to International Financial Reporting Standards (IFRS) as adopted by the European Union. FOURTH QUARTER HIGHLIGHTS • Net sales of SEK 668 million (SEK 816 million) • Gross profit of SEK 159 million (SEK 194 million) with gross profit margin of 23.7% (23.7%) • Operating profit of SEK 28 million (SEK 132 million) • Net profit of SEK 15 million (SEK 133 million) • Earnings per share of SEK 0.28 (SEK 2.47) TWELVE MONTHS HIGHLIGHTS • Net sales of SEK 2,950 million (SEK 3,015 million) • Gross profit of SEK 676 million (SEK 725 million) with gross profit margin of 22.9% (24.0%) • Operating profit of SEK 73 million (SEK 174 million) • Net profit of SEK 39 million (SEK 166 million) • Earnings per share of SEK 0.72 (SEK 3.07) HIGHLIGHTS AFTER THE END OF THE YEAR • Formal public cash Offer for all of Pergo’s shares by Pfleiderer Sweden AB of SEK 51 per share, which values the Offer at SEK 2,732 million • Pergo’s Board of Directors unanimously recommended the Offer • Acceptance period for the Offer closes on February 23, 2007 OUTLOOK • The Board of Directors has reiterated its previously issued full year 2007 guidance for year on year sales growth to be in line with, or exceed, the projected 9-14% laminate flooring industry growth in North America and 2-4% growth in Europe; and for the Company to achieve an 8% operating (EBIT) margin. Tony Sturrus, President and CEO of Pergo AB, commented: “The final full year sales result came in slightly above the levels indicated at the time of the trading update that we published in the middle of January, while operating profits were slightly lower. The performance of our North American operations during the second half of 2006 was clearly disappointing, while our European operations reported significantly increased margins throughout the year. The fourth quarter results for our North American operations were more adversely affected by the delayed roll-outs and retailer inventory reductions by customers than previously anticipated, and also coincided with softening consumer demand”. “We expect the new product roll-outs by key North American customers to be completed by the end of the first half of 2007 and, therefore, maintain a positive outlook for 2007 and beyond. The investments that we have made to expand our existing key retailer relationships, and to develop new channel and account relationships, position us well to regain sales momentum in 2007.” For further information, please visit www.pergo.com or contact: Tony Sturrus, CEO Frida Rosenholm, General Counsel & Head of Investor Relations Tel: +46 8 790 3884 Matthew Hooper Investor Relations Tel: +44 (0) 20 7321 5010 ir@pergo.com Pergo is a leading international flooring company with established market positions in Europe and the USA. Pergo generated net sales of approximately SEK 3 billion in 2006 and employs over 600 people. Pergo developed laminate flooring at the end of the 1970s and launched its product in Europe during the 1980s. The Company began selling its products in the US in 1994, in Asia in 1995, and in Latin America in 1997. The Company’s products have been marketed under the PERGO® brand since 1989 and under the SimpleSolutions brand since 2005. The Company’s shares are listed in the Mid Cap Industrials sector of the Nordic Stock Exchange under the symbol ‘PERG’.
FINANCIAL RESULTS FOR THE FOURTH QUARTER AND TWELVE MONTHS ENDED DECEMBER 31, 2006
| Source: Pergo AB
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