Operating revenues for the 2nd quarter 2008 amounted to NOK 937 million, up NOK 81 million (9.5 %) compared to the 2nd quarter 2007 (pro forma). EBIT for the quarter was NOK 112 million, up 9.1 %, and the EBIT margin was 12.0 %.

Despite a demanding market situation, the Group increased its operating revenues and operating profit in this quarter as well and achieved satisfactory margins. Production efficiency is good in both the Norwegian and Swedish operations. The Group's intake of orders in the first half of the year was 17.2 percent lower than for the same period in 2007, and the order backlog shows a downward trend. We expect the unstable market situation to continue during the 2nd half of 2008, and it is taking longer than originally predicted to stabilise the demand for new homes, comments CEO Lars Nilsen in BWG Homes.

- We intensify our efforts to match our operations to the market situation going forward. During the second half of the year measures to reduce staffing and other costs will be carried out. A reduced cost level, more production effective products, focused sales and synergy effects in purchasing of goods and services will have an impact in 2009, Lars Nilsen comments further.

Key figures 2nd quarter 2008

*
Operating revenues NOK 937 million (NOK 856 million). Up 9.5 per cent.
*
EBITDA NOK 117 million (NOK 102 million). Up 14.9 per cent.
*
EBITDA margin 12.5 per cent (11.9 per cent).
*
EBIT NOK 112 million (NOK 103 million). Up 9.1 per cent.
*
EBIT margin 12.0 per cent (12.0 per cent).
*
EBT NOK 92 million (NOK 78 million). Up 18.2 per cent.
*
New orders NOK 856 million (NOK 992 million). Down 13.8 per cent.

(Comparable figures 2nd quarter 2007 are pro forma).

Key figures 1st half year 2008

*
Operating revenues NOK 1 795 million (NOK 1 641 million). Up 9.4 per cent.
*
EBITDA NOK 230 million (NOK 198 million). Up 16.0 per cent.
*
EBITDA margin 12.8 per cent (12.1 per cent).
*
EBIT 219 NOK million (NOK 199 million). Up 9.7 per cent.
*
EBIT margin 12.2 per cent (12.1 per cent).
*
EBT 166 NOK million (NOK 153 million). Up 8.9 per cent.
*
New orders NOK 1 592 million (NOK 1 923 million). Down 17.2 per cent.
*
Order backlog NOK 1 731 million (NOK 2 104 million). Down 17.7 per cent.


(Comparable figures 1st half year 2007 are pro forma).


For more details, see the attached interim report.


Further information from:

Lars Nilsen, CEO, BWG Homes ASA, tel: +47 23 24 60 00

Ketil Kvalvik, CFO, BWG Homes ASA, tel: +47 23 24 60 42, +47 90 77 13 15


BWG Homes develops, sells and constructs residential homes in the Nordic region. The present brands owned by the group are Block Watne and Hetlandhus in Norway, Myresjöhus and SmålandsVillan in Sweden. BWG Homes sells and constructs homes through own residential projects and for individual customers. Ranked as a leading residential house builder in its markets, the group annually completes more than 2 000 new homes. BWG Homes has 1 270 employees. In 2007 the pro forma turnover was NOK 3.2 billion.

2 Quarter 2008

source : BWG Homes