Total property revenue for 2001 amounted to SEK 575.1 M (497.7). The operating net rose by SEK 69.6 M to SEK 478.4 M (408.8). This increase is mainly attributable to the acquisition of Hotellus and hotel properties acquired in 2000 and 2001 as well as a high level of valueadding activities in the hotel property portfolio. For comparable units the increase was 2.0 percent.

The adjusted direct yield for the period was 9.6% (9.6).
Net financial expense for the period amounted to SEK -178.1 (-150.7).
Corporate group income, after tax, exclusive of nonrecurring revenue, for the period improved by SEK 27.4 M and amounted to SEK 182.2 M (154.8).

During the period the hotel properties Mr. Chip in Stockholm-Kista and Hotel Högvakten in Helsingborg have been acquired for a total cost of SEK 142 M and with a direct yield of 9 per cent. The hotel properties Sten Stensson Sten in Eslöv and Scandic Karlshamn were divested with a capital gain of SEK 8.6 M. These divestments are part of Pandox' strategy to concentrate on ownership in prioritised towns ands cities. As per December 31, 2001 Pandox owned 46 hotel properties with a total of 8 469 rooms and a book value, including hotel inventory, of SEK 5 036.8 M

"2001 was another excellent year for Pandox with growth in revenue, income and cash flow. Pandox strategy with a chosen market segment, high quality hotel property portfolio has, together with active ownership and active risk management, had the desired effect to limit the risks in the portfolio", says Anders Nissen, CEO, Pandox AB.

Encl: Complete Year-end report.

The full report including tables can be downloaded from the enclosed link.