Interim report January-March 2009
2009-04-23
Statement by the CEO
Strong profit from property management
Strong profit from property management
“The profit from property management shows that Klövern’s core business is continuing to develop well. Despite the downturn, profit from property management which includes the running real estate business but exclude changes in value and tax effects, has increased by as much as 37 per cent. The increase in the profit is due to higher rental income and lower interest rates. The downturn in the economy is beginning to show at Klövern as well. Our locally based organization is now perfectly fitted to actively meet the customers’ changed needs.
The low short-term interest rate makes it attractive to have a high proportion of variable loans. We have none the less chosen to hedge our long-term interest costs to a great extent and even out the cash flow over time. Over half of our loans have base rates that have been hedged by swap agreements and the remaining part of the loan portfolio has been secured by interest caps”, says Klövern’s CEO Gustaf Hermelin.
Nyköping 23 April 2009
The low short-term interest rate makes it attractive to have a high proportion of variable loans. We have none the less chosen to hedge our long-term interest costs to a great extent and even out the cash flow over time. Over half of our loans have base rates that have been hedged by swap agreements and the remaining part of the loan portfolio has been secured by interest caps”, says Klövern’s CEO Gustaf Hermelin.
Nyköping 23 April 2009
Klövern AB (publ)
For further information, please contact:
Gustaf Hermelin, CEO, tel +46 155-44 33 10, +46 70-560 00 00, gustaf.hermelin@klovern.se
Caesar Åfors, CFO and vice President, tel +46 155-44 33 02, +46 70-662 48 48, caesar.afors@klovern.se
Britt-Marie Einar, Finance and Information Manager, tel +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 March 2009, the value of the properties totalled approximately SEK 11.9 billion and the rental value on an annual basis was approximately SEK 1.4 billion. The Klövern share is listed on Nasdaq OMX Nordic Exchange in Stockholm, 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.
Corporate registration no. 556482-5833. Registered office: Nyköping. Website: kelly.corem.se