Skanska will take a SEK 335 M charge in the UK. Preliminary consolidated operating income for the first quarter 2008 amounts to SEK 1,080 M

Skanska will take a SEK 335 M charge in the UK. Preliminary consolidated
operating income for the first quarter 2008 amounts to SEK 1,080 M

Skanska will take a SEK 335 M (GBP 27 M) charge in the UK in the first
quarter 2008, mainly related to three projects with fixed price
contracts.

The projects, of which two have been described in earlier interim
reports, are delivered on a PPP (Public Private Partnership) basis where
Skanska is responsible for financing, design, construction and
operations during a defined period. The projects have a combined
construction value of approximately SEK 14 bn and production spans over
several years.
During the production period, the project scope has changed which has
led to substantial increases in the cost to complete the projects on
schedule. This is to be settled in negotiations with clients and
subcontractors. Recent negotiations have proven it difficult to reach
reasonable compensation for increased cost and this has led to a more
pessimistic view on the financial outcome of the projects.
“This type of fixed price contracts with long durations has
traditionally resulted in higher than average margins at the same time
as risks are greater in this type of projects. These events highlight
the importance of that we continue to further improve our risk
management for this type of projects”, says Skanska's President and CEO,
Johan Karlström.
Preliminary results for the first quarter 2008
The preliminary consolidated operating income for the first quarter of
2008 amounts to SEK 1,080 M (779).
Order bookings during the first quarter amounted to SEK 34.8 bn (38.5).
In the comparative period the New Meadowlands Stadium project was
included in order bookings to the amount of SEK 7 bn.
In Construction revenues rose by 14 percent and amounted to SEK 30,475 M
(26,754). Adjusted for currency rate effects revenues rose by 17
percent. Operating income amounted to SEK 488 M (663).
Beginning with the first quarter of 2008, the Danish construction unit,
which is being wound down, is reported under ”Central”. Revenue and
operating income for construction in the comparative period have been
adjusted to reflect this.
In Residential Development, the number of sold units decreased by 29
percent while the number of started units remained stable.
In Commercial Development leases were signed for 81,000 sq.m. of space.
No projects were sold during the period.
Operating income in Infrastructure Development includes a gain of SEK
550 M from the divestment of the Brazilian power project Ponte de Pedra.

Preliminary result                       Jan-Mar Jan-Mar
SEK M                                    2008    2007
Revenue                                           
Construction                             30,475  26,754
Residential Development                  1,965   2,042
Commercial Development                   343     265
Infrastructure Development               15      8
Operating income                                  
Construction                             488     663
Residential Development                  151     246
Commercial Development                   39      76
Infrastructure Development               587     -96
Central                                  -152    -123
Eliminations                             -33     12
Operating income                         1,080   778           Jan-Mar Jan-Mar
                                         2008    2007
Units sold in Residential Development             
Nordics                                  521     1,148
Czech Republic                           317     31
Total                                    838     1,179
Started units in Residential Development          
Nordics                                  539     985
Czech Republic                           440     0
Total                                    979     985
The complete interim report will be published on May 7.
There will be a telephone conference on April 15 at 10.00 am CET where
Skanska's President and CEO, Johan Karlström and the CFO, Hans Biörck,
will answer questions. To participate in the telephone conference please
dial +46 8 505 201 10 at least five minutes prior to the start of the
conference. If you are unable to participate, there will be a replay
facility available for seven days immediately following the
teleconference. The number to dial is +46 8 505 203 33, code 792586.   
For further information please contact:
Anders Lilja, Senior Vice President Investor Relations, Skanska AB,
tel +46 8 753 88 01
Peter Gimbe, Press Officer, Skanska AB, tel +46 8 753 88 38.
Direct line for media: tel +46 8 753 88 99

This and previous releases can also be found at www.skanska.com
SkanskaABmay be required to disclose the information provided herein
pursuant to the Securities Markets Act.

Skanska is one of the world's leading construction groups with expertise
in construction, development of commercial and residential projects and
public-private partnerships. The Group currently has 60,000 employees in
selected home markets in Europe, in the US and Latin
America. Headquartered in Stockholm, Sweden and listed on the Stockholm
Stock Exchange, Skanska's sales in 2007 totaled SEK 139 billion.