In accordance with the company's guidelines for incentive schemes, as adopted at the company's Annual General Meeting on Friday 26 September 2008, the Board of Directors has decided to assign share options to the Board of Management and a group of key management personnel. The share options will be allocated proportionally over a 3-year period and can hereafter be exercised in a subsequent 3-year period. The share options will hereafter expire. The share options can be exercised at a price of 47.39 DKK per share, which price reflects the average price of trading in the company's shares on NASDAQ OMX Copenhagen A/S, during the 10 trading days following the announcement of the Company's report for the 2009/10 financial year. The share options exercise price is adjusted for dividend paid. In addition, the Board of Directors has decided to assign employee shares to employees in the Danish Bang & Olufsen companies. These shares are assigned on the same terms as last year as well as in the same numbers. The following persons, who are covered by the reporting requirements of the Act on Securities Trading, participate in the options allocation: Name Karl Kristian Hvidt Nielsen Reason President, CEO, in compliance with article 28a ( 2.1.) of the Danish Securities Trading Act Issuer Bang & Olufsen a/s Designation Option Nature of transaction Allocation Number 84,667 Market value in DKK (calculated in accordance with Black & Scholes) 1,374,992 Name John Bennett-Therkildsen Reason Executive Vice President, Operations, in compliance with article 28a (2.2.) of the Danish Securities Trading Act Issuer Bang & Olufsen a/s Type Option Transaction Allocation Number 35,500 Market value in DKK (calculated in accordance with Black & Scholes) 576,520 Name Christian Winther Reason Executive Vice President, Sales and Marketing, in compliance with article 28a (2.2.) of the Danish Securities Trading Act Issuer Bang & Olufsen a/s Type Option Transaction Allocation Number 35,500 Market value in DKK (calculated in accordance with Black & Scholes) 576,520 Name Henning Bejer Beck Reason Executive Vice President, CFO, in compliance with article 28a (2.2.) of the Danish Securities Trading Act Issuer Bang & Olufsen a/s Type Option Transaction Allocation Number 35,500 Market value in DKK (calculated in accordance with Black & Scholes) 576,520 Kim Hyldahl Hansen Director, Global Counsel # # # Applications to this announcement to be made to: Director, Global Counsel Kim Hyldahl Hansen, Phone +45 9684 5167