NCC forms separate business area for housing development operations

NCC forms separate business area for housing development operations

NCC has decided to concentrate the Group's housing development operations in a
separate business area, NCC Housing, as of January 1, 2009. Peter Wågström,
currently President of NCC Property Development, will be in charge of the new
business area. 

Since 2002, NCC's housing development operations have been conducted within the
framework of the Construction units in Sweden, Norway, Denmark, Finland and
Germany. During the strong economic climate of recent years, the Group's housing
business has grown and NCC has developed into one of the largest residential
builders in the Nordic region. 

In order to enhance the potential and increase the efficiency of the housing
development business, the Group's housing development operations will be
concentrated in a separate business area as of January 1, 2009. Production of
housing will continue to be conducted within the framework of the Construction
units.

- The housing business has been successful for the Group in recent years. At the
same time, the conditions for conducting housing development operations have
changed. Due to the financial crisis and the recession, which are having a
significantly faster impact, the market for new housing has weakened
considerably. Our assessment is that the developers of the future will face
demands that differ from those placed on the developers who have succeeded
during the recent economic boom, and not just in terms of dealing with a weaker
market, says Olle Ehrlén, President and Chief Executive Officer of NCC AB.

 - We believe that through the new organization, NCC will achieve greater
leverage from synergies across national borders in the form of, for example,
platforms, marketing and the allocation of capital. We also believe that this
will increase the potential to exploit and develop the existing competencies and
experiences in conducting development operations.

NCC has favorable experience from NCC Property Development when it comes to
concentrating a similar development operation in a separate business area. To be
able to additionally benefit from NCC Property Development's experiences, Peter
Wågström, the current President of NCC Property Development, has been appointed
President of NCC Housing. 

The recruitment of a successor to Peter Wågström as President of NCC Property
Development will begin immediately.

The reorganization will impact on NCC's segment reporting, and pro forma
reporting will be published before the publication of the first-quarter report
for 2009.

For further information, please contact:
Lovisa Lagerström Lantz, Acting Press Relations Manager, NCC Group, +46 (0)8 585
523 46, +46 (0)70 592 45 46



All of NCC's press releases are available on www.ncc.se

NCC is one of the leading construction and property development companies in the
Nordic region. NCC had in 2007 sales of fully SEK 58 billion, with 21,000
employees.