Review by the President and CEO

Interim Report January-June 2015:

“Our strategy execution has progressed well during the period. We have focused on building the foundation for further growth with our internal actions. During the "Build” phase of our strategy we are building a common operational model and processes for the whole group. We are also investing in systems, tools and harmonisation to shorten the invoicing process. Furthermore, we are deploying a more rigorous project selection and introducing more thorough project follow-up practices. The "Build" phase of our strategy is now ongoing throughout the Group. As a Group we are now preparing to enter the next phase of our strategy.

The stabilisation of our operations can be seen in our financial performance. Our revenue increased by 2% during the first half of the year, which correlates with the stable market conditions in our primary markets. The improved performance in the second quarter compared to last year, is largely explained by the write downs connected to the project portfolio reviews done in 2014. The performance during the rest of the year is considered to be more in line with last year.

As we move towards the second half of this year our strategic focus is gradually shifting more towards generating profitable growth. In line with this we continue to develop our business mix for the future with initial focus on Large Projects with total technical solutions, Managed Services and Technical Installation & Maintenance. During the second quarter, we have received a number of new demanding Large Projects and Managed Services contracts.”

Fredrik Strand