Annual Results 2007 for Atorka Group hf.: Key financial indicators for the Group: * Atorka Group's consolidated loss after taxes totalled ISK 900 million. * Loss in the fourth quarter totalled ISK 3.373 million. * Earnings for 2007 totalled ISK 71.3 billion. * The Company's total assets at the end of the year were ISK 103.7 billion. * Equity was ISK 9 billion at the end of the year. Key financial indicators for the parent company: * After-tax profit in 2007 totalled ISK 8.141 million * Profit after tax in the fourth quarter was ISK 1.371 million * Total assets at the end of 2007 amounted to ISK 62.325 million, assets grew by 45% from year's end 2006. * Equity totalled ISK 23.376 million on 31 December 2007, which is an increase of 36% from year's end 2006 ex-dividend. * Annualised return on equity was 47%. * The equity ratio is 38%. * Earnings per share at year's end is 2,58 Main events * Atorka concluded the sale of its entire holding in Jardboranir to Geysir Green Energy. The Enterprise Value of the sale is ISK 17.7 billion. Atorka's total gain since the beginning of its investment amounts to ISK 11 billion before taxes. * Atorka has refinanced big portion of its short-term borrowings, with new long term loans payable in 2 years or later. Only 9% of the company's long term borrowings are due in 2008. * Atorka became a primary investor in Geysir Green Energy in August 2007, with 32% stake. In February 2008, Atorka increased its share in Geysir and became the largest shareholder with 44% stake. * Jardboranir made an agreement with Landsvirkjun about drilling five exploration holes next year. * Jardboranir founded Hekla Energy in Germany and Hekla Energy has already started drilling projects there for Exorka. * Geysir Green Energy is the largest proprietor of geothermal licenses in Germany. * Geysir Green Energy purchased Landsvirkjun's share in Enex and raised its stake to approximately 72%. * Iceland America Energy, a subsidiary of Enex, is involved with many projects in the US and started to drill their first geothermal exploration well, in Truckhaven in California. * Promens concluded refinancing in cooperation with DnB NOR, Nordea and LBNord. This capitalization ensures the company further growth and investment opportunities and enables them subsequent buy and build strategy. * Promens acquired three additional packaging companies in 2007; Novoplast in Russia, Decoplast in France and STE packaging in Spain. Promens opened a new plant in Polland and the company is looking into further investments in Eastern Europe. * In November, Promens consolidated its entire operations under one name. * Atorka increased its share in Interbulk to 40% in 2007 in connection with the acquisition of UBC a leader in specialised logistics services mainly for the chemical industry. * Atorka acquired 30% stake in Clyde Process Solution (CPS). Atorka supported CPS in its acquisition of MAC, a leading US provider of pneumatic conveying and air filtration technologies. * Atorka's holding in Amiad Filtration Systems increased to 23%. Amiad is one of the leading producers of water filtration solutions. This market is expanding considerably. * Atorka added a new investment within the waste-water industry by acquiring about 14% stake in Asia Environment Holdings. Asia Environment recently concluded a 200.000 m3 water-waste treatment plant in China which the company will own and run for the next 20 years. The company is also involved in the development of numerous comparable projects in Asia. * Atorka acquired approximately 24% stake in Shanghai Century Acquisition Corp (SHA) which is listed on the AMEX stock market in New York. SHA recently invested in a structured and specialized financial leasing company in China. This market is still somewhat underdeveloped in China and offers therefore vast growth opportunities. SHA had reported the acquisiton of a Chinese generic pharmaceutical company pending approval from Chinese Authorities. On 20 February 2008, SHA announced that the acquisition had been terminated. * Atorka completed the sale of its investments in the health care sector; Icepharma, Parlogis and Ilsanta. * All investments are reported at fair value and they are fully disclosed in the company's results. The company has a strong financial position, is well financed and has solid cash balance. Magnus Jonsson, CEO of Atorka Group:"Atorka's earnings in 2007 were good despite challenging market conditions. Atorka realized substantial profit by selling one of its investment projects. At the same time Atorka invested in a new project, Geysir Green Energy and in February 2008 we became the largest shareholder with 44% holding. Geysir is currently working on many projects in Europe, USA and Asia. Geysir has a the objective to become a world leader in the development of geothermal energy. Atorka has, to greater extant, been looking towards investment in Asia. Most recently we acquired 14% stake in Asia Environment Holdings, which is one of the leading companies in the development of waste - water treatment plants in China and other countries in Asia. With increased prosperity China is expected to invest significantly in improved quality of life and in relation to that Atorka sees investment opportunities in that field. Atorka has a strong financial profile and is therefore in a good position to take advantage of opportunities coming along in the near future." For further information contact: Magnus Jonsson, Chief Executive Officer, tel: +354 540 6200 Valdis Arnardóttir PR & Communication Manager, tel: +354 840 6217 Atorka Group's interim financial statements can be found on the Company's website: www.atorka.com
Annual Results for 2007
| Source: Atorka Group hf.