LBi Q3 2008

PRESS RELEASE
Stockholm/Amsterdam, 23 October 2008

LBI International AB ("LBi"), the global marketing and technology
agency, today announces its results for the third quarter 2008.

Executive summary
- Strong performance in third quarter, a period traditionally
impacted by the summer holiday season.

- EBITDA came in at EUR 6.0 million, a year-on-year improvement of
51.3%

- Improved margins across the Group resulting from better cost
control and improved new business conversion. Our two primary hub
markets, UK and US, reported EBITDA margins of 20.4% and 24.1% for
the quarter.

- Net sales in the third quarter increased by 3.9% and amounted to
EUR 41.0 million (40.3) year-on-year. Quarterly growth is pressured
by ongoing rebalancing of portfolio and move to higher margin
retained business.

- Earnings per share in the third quarter came to EUR 0.05 (0.02).

- Execution well on track against our strategic objectives with
continued focus on improving quality of earnings and cost
optimization.

- LBi expects further improved operational performance in Q4.

A word from the CEO
Even though Q3 is a quarter traditionally impacted by the holiday
season, we have  delivered a strong set of results. For the quarter,
EBITDA came in at EUR 6.0 million on sales of EUR 41.0 million. This
represents a year-on-year EBITDA improvement of 51% (62% at constant
currency rates).

I am pleased with the progress we have made over the past two
quarters. We are now delivering EBITDA margins of 20.4% and 24.1% in
our two primary hub markets (UK and US), as a result both of better
cost control and improved new business conversion. The steps that we
have taken over the course of the year to institutionalize
operational excellence and drive efficiency will serve us well if
economic conditions continue to deteriorate. We have  deliberately
throttled growth in our relentless pursuit of blue chip, retained,
high margin engagements and this disciplined, focused approach to new
business will safeguard profits as we go into 2009.  I do
nevertheless believe that we can further accelerate our cost
optimization programme and we will of course continue to aggressively
manage our cost base in real time in response to changing market
conditions.

We continue to track well against our strategic objectives. We have
significantly matured our two primary hub offerings. In the United
States we can now deliver a best-in-class marketing-led offer. Our
dedicated media operation, digital creative agency and platform
specialists are increasingly working and pitching in a fully
integrated fashion. In the UK market we have significantly deepened
our search engine optimization, search engine marketing, data and
media capabilities. We have also rolled out a single go-to-market
offering that now consistently applies in all markets and this
enables us to respond faster and more effectively on cross-border
pitches. The LBi rebranding has been virtually completed in all
European markets (with Germany coming on stream during the quarter)
and this has made it easier to leverage our global footprint in
response to client needs.

Improved clarity and focus in our offer has translated into improved
new business success. Key wins in the quarter include, Proximo
Spirits in the US, Waterstones and HMV in the UK and IKEA, Q8 and
Bayer Healthcare in Central and Southern Europe and Scandinavia. In
these new engagements we meet an increasing desire to consolidate all
direct response, ECRM and digital activities into a single contract.
This reinforces the relevancy of our service strategy and plays to
our highly differentiated position in the market place.

While we expect to deliver further improved operational performance
in Q4 it is difficult to assess how current market conditions will
impact 2009. The new business funnel at country level is robust but
it is not yet clear how much new business activity will convert into
signed orders. Spending behaviour can be differentiated by sector.
There is evident contraction in both the automotive and financial
wholesale services sectors but this is currently being offset by
improved digital business and marketing spend in the
retail/e-commerce, fast moving consumer goods and media/entertainment
sectors.

In our Q4 release we expect to assess more confidently the 2009
picture as we will by this time have concluded budget negotiations
across our key client base. At this point in time we remain confident
that we can benefit from any prolonged period of uncertainty and we
expect to capture market share  with advertisers  that are
increasingly attracted to an ROI-led service offer.

Luke Taylor, CEO

For further information please contact:
Luke Taylor, CEO, LBI International AB
+44 (0) 20 70 63 64 65, luke.taylor@lbi.com
Huub Wezenberg, acting CFO, LBI International AB
+31 20 460 4500, huub.wezenberg@lbi.com
Eva Ottosson, Group Communications Manager, LBI International AB
+46 709 41 21 40, eva.ottosson@lbi.com

About LBi:
LBi is  a global marketing and technology agency. The Company employs
approximately 1,600 professionals located primarily in the major
European, American and Asian business centers, such as Amsterdam,
Atlanta, Berlin, Brussels, London, Milan, Mumbai, New York, Paris and
Stockholm. LBi blends the full range of service disciplines to create
innovative multichannel solutions for national and international
corporate clients. By combining business and media strategy
development with creative design, industry expertise and the latest
digital communications technology, LBi offers a unique , and uniquely
valuable proposition. LBi is listed on OMX Nordic in Stockholm and
Euronext in Amsterdam as (symbol: LBI).
www.lbi.com