Financial turbulence, but high speed in business!
"During September and October, we have seen dramatic turbulence on the financial market. Of course, this also affects Klövern and, in the short-term perspective, we have seen a part of the increase in value we experienced last year wiped out. Our financial costs have increased and the lack of liquidity in the market around the end of the quarter has led to our average borrowing cost temporarily increasing by a couple of notches. At such a time, it is gratifying that we had our best net moving in ever in the past quarter. It is also particularly positive that vacating tenants are at a very low level. A low tenant turnover enables us to maintain a occupancy rate and limit investments for tenant adaptations. Our business is accordingly developing at a good pace as we move towards the expected downturn. Our competent organisation with local roots will enable us to continue this good letting work while keeping costs well under control. As many companies need to review their need of premises in a downturn as when the economy is buoyant", says Klövern's CEO Gustaf Hermelin.
Nyköping, 23 October 2008
Klövern AB (publ)
For further information, please contact:
Gustaf Hermelin, CEO, tel +46 155-44 33 10, +46 70-560 00 00, firstname.lastname@example.org
Caesar Åfors, CFO and vice-CEO , tel +46 155-44 33 02, +46 70-662 48 48, email@example.com
Britt-Marie Einar, Finance and Information Manager, tel +46 155-44 33 12, +46 70-224 29 35,
Klövern is a real estate company committed to working closely with customers to meet their needs of premises and services in Swedish growth regions. Today Klövern has geographical units in ten cities/locations: Borås, Karlstad, Kista, Linköping, Norrköping, Nyköping, Täby, Uppsala, Västerås och Örebro. As at 30 September 2008, the value of the properties was approximately SEK 12.1 billion and the rental income on an annual basis was around SEK 1.3 billion. The Klövern share is listed on the OMX Nordic Exchange in Stockholm for medium-sized companies.
Klövern AB (publ), Box 1024, SE- 611 29 Nyköping; Sweden * Tel +46 155-44 33 00, Fax +46 155-44 33 22.
Company registration no. 556482-5833 * Registered office: Nyköping * Website: www.klovern.se