Statement by the CEO
Healthy profit in property management
"Higher income and lower property costs enabled Klövern to increase its operating surplus by a full 15 per cent in 2011. After two cold winters with heavy snow, it is gratifying, as Klövern's newly appointed CEO, to see that this year won't be the third time running. This naturally contributed to a sharp reduction in property costs for comparable portfolio during 2011. However, we also saw the impact of the efforts we've made with energy savings, direct charging of tenant costs and more efficient property caretaking.It is even more satisfying to note that we have not only succeeded in retaining our customers in these turbulent times but can more-over report a positive net moving-in. Not quite at the level that we'd hoped for, but none the less a number of millions on the plus side measured in terms of annual rent. Over and above this, our rental levels are higher, regardless of whether we look at renegotiated lease contracts, the whole lease stock or newly-signed lease contracts in comparison with existing leases. Much of this is due to committed and well-focused work by Klövern's staff.During 2012, Klövern - with the bid for Dagon - is hopefully taking an important step on the road towards the goal of being included in the Stock Exchange's Large Cap-list. Acquisition of Dagon would mean that Klövern's property portfolio would increase from SEK 15 to SEK 20 billion. Being larger is not an end in itself but a larger company does have a broader base of potential investors. Klövern will gain access to new interesting markets such as Öresund and Gothenburg as well as further potential in the form of new projects and building rights.A merger of two companies will require both commitment and hard work by both old and new staff. Perhaps not every development in our business environment will be in our favour, but Klövern has its own firm foundation to stand on. Growth provides energy internally and generates interest externally. We have an exciting year ahead of us", says Klövern's CEO Rutger Arnhult.
Nyköping, 15 February 2012
Klövern AB (publ)
For further information, please contact:
Rutger Arnhult, CEO, +46 155-44 33 00/+46 72-301 53 31, rutger.arnhult@klovern.seBritt-Marie Einar, Finance and IR Manager, Deputy CEO, +46 155-44 33 12/+46 70-224 29 35, britt-marie.einar@klovern.se
Klövern is a real estate company committed to working closely with customers to meet their needs of premises and services in Swedish growth regions. Klövern has business units in ten cities: Borås, Karlstad, Kista, Linköping, Norrköping, Nyköping, Täby, Uppsala, Västerås and Örebro. As at 31 December 2011 the value of the properties totalled approximately SEK 14.9 billion and the rental income on an annual basis was around SEK 1.6 billion. The Klövern share is listed on Nasdaq OMX Stockholm Mid Cap.Klövern AB (publ), Box 1024, SE-611 29 Nyköping, Sweden. Tel +46 155-44 33 00, Fax +46 155-44 33 22. Corporate registration no. 556482-5833. Registered office: Nyköping. www.klovern.se. info@klovern.se.This information is such that Klövern AB (publ) is obliged to disclose under the Securities Market Act and/or the Financial Instruments Trading Act. The information was made available for publication on 15 February 2012.