Balance Sheet Communique for New Wave Group AB.Business Editors STOCKHOLM--(BUSINESS WIRE)--Feb. 21, 2000 Balance Sheet Communique for New Wave Group AB January January: see month. - December December: see month. 1999 -- During the period January-December 1999, New Wave increased its sales by 12.5 per cent to SEK 799.0 (710.4) million. -- The profit after financial items increased by 121 per cent and amounted to SEK 54.1 (24.5) million for 1999. -- The Profiling business area increased sales by 18 per cent to SEK 481.7 (408.9) million. The profit for the Profiling business area after net financial items was SEK 44.2 (23.9) million. -- The Retailing business area increased sales by 5 per cent to SEK 317.3 (301.5) million. The profit for the Retailing business area after net financial items was SEK 9.9 (0.6) million. -- On January 19, 2000, New Wave made a public offer to all shareholders in Texet AB. For the year 2000, the calculated total turnover for the corporation is expected to exceed SEK 1.200 million. -- The board has decided to suggest that the Annual General Meeting increases the dividend to SEK 4.00 (1.90) per share for the 1999 financial year, totalling approximately SEK 12.0 million. -- The profit will increase considerably during the year 2000. -- The board has decided to suggest the Annual General Meeting to effect a share splitting of the New Wave Group AB's shares 2:1. Fourth Quarter New Wave's sales during the fourth quarter rose by 23 per cent to SEK SEK In currencies, this is the abbreviation for the Swedish Krona. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. 210.3 (170.4) million. The Profiling business area's sales increased by 35 per cent. The Retailing business area's sales increased by 3 per cent. The profit after net financial items for the fourth quarter increased by 23 per cent to SEK 14.2 (11.6) million. Sales During the period January-December 1999, New Wave's sales rose by 12.5 per cent to SEK 799.0 (710.4) million. The Profiling business area's sales rose by 18 per cent. In the Retailing business area, sales increased by 5 per cent. Sales on the Swedish market increased by 3 per cent to SEK 466.0 (451.0) million. The increase on the foreign markets was 28 per cent. Financial results During the period January-December 1999, the profit after financial items increased by 121 per cent to SEK 54.1 (24.5) million. The gross profit margin Gross profit margin Gross profit divided by sales, which is equal to each sales dollar left over after paying for the cost of goods sold. gross profit margin A measure calculated by dividing gross profit by net sales. increased for the corresponding period regarding the previous year to 34 (33) per cent. External costs increased by 1 per cent and represented 14 (13) per cent and costs for personnel represented 11 (11) per cent of the total invoicing in·voice n. 1. A detailed list of goods shipped or services rendered, with an account of all costs; an itemized bill. 2. The goods or services itemized in an invoice. tr.v. . Profiling Business Area During the period January-December 1999, the business area's sales rose by 18 per cent to SEK 481.7 (408.9) million. The profit after financial items for the business area for 1999 was SEK 44.2 (23.9) million. The improvement in profit is principally due to increased sales volumes, improved gross margins and that the subsidiaries established during 1997, present considerably improved profits. Retailing Business Area During the period January-December 1999, the business area's sales rose by 5 per cent to SEK 317.3 (301.5) million. The profit after financial items for the business area for 1999 was SEK 9.9 (0.6) million. The improvement in profit is principally due to the program of measures started during 1998. All effects of this program are expected to have an impact during the 2000 financial year. Establishments abroad The Netherlands Netherlands (nĕth`ərləndz), Du. Nederland or Koninkrijk der Nederlanden, officially Kingdom of the Netherlands, constitutional monarchy (2005 est. pop. 16,407,000), 15,963 sq mi (41,344 sq km), NW Europe. The acquired business in Town & Country VOF VOF Volume of Fluid VOF Vennootschap Onder Firma (Dutch) VOF Voice of Freedom VOF Voice of the Faithful VOF Observation Fighter Squadron (Navy unit designation used from 1942 to 1945) has been part of New Wave since September September: see month. 1, 1999 . The market is prospected from the Dutch company, New Wave Sportswear B.V. New Wave will invest in increased distribution during the first quarter of 2000. United Kingdom On November November: see month. 1, 1999, New Wave acquired the British profile company Jay Kay KAY Kick Ass Year KAY Kansas Association of Youth Group Ltd. Jay Kay has so far distributed the brand Airak in a very slim assortment assortment /as·sort·ment/ (ah-sort´ment) the random distribution of nonhomologous chromosomes to daughter cells in metaphase of the first meiotic division. as·sort·ment n. consisting principally of t-shirts, sweatshirts and shirts. Through this acquisition, New Wave has access to one of the biggest profile markets in Europe Europe (y  r`əp), 6th largest continent, c.4,000,000 sq mi (10,360,000 sq km) including adjacent islands (1992 est. pop. 512,000,000). . New Wave will, during the first
quarter of 2000, introduce Clique (mathematics) clique - A maximal totally connected subgraph. Given a graph with nodes N, a clique C is a subset of N where every node in C is directly connected to every other node in C (i.e. C is totally connected), and C contains all such nodes (C is maximal). and New Wave onto the British market.
The distribution of Airak will only continue on the British market.
Sales territories will also be established in Scotland and Ireland.The British Market is expected in the long run to be the business area Profiles biggest market in Europe. The development has after the acquisition so far been better than expected and the interest from the market is great. France The French market is currently being established. The task of recruiting personnel and finding premises is ongoing. Initially the distribution will be from New Wave's subsidiary company in Italy. The French subsidiary will be established during April 2000. Belgium A sales office will be established during the second quarter of 2000. Distribution to the Belgian Belgian having some relationship to Belgium. Belgian barge dog see schipperke. Belgian black pied cattle black, Belgian dairy cattle. Belgian blue dual-purpose cattle; blue, white or blue roan. market will be from the Dutch company. Switzerland The Establishment in Switzerland will be moved to the end of 2000 or to 2001. The reason for this is that New Wave making the French market a priority in the light of the fact that the French market is considerably bigger than the Swiss market. Denmark Both sales and profit trends in Denmark are good and are in line with New Wave's expectations. Germany Growth in sales remains good in Germany. The sales for the Profiling business area has exceed last year's figure considerably. The result exceeds the result from 1998. Short-term Short-term Any investments with a maturity of one year or less. short-term 1. Of or relating to a gain or loss on the value of an asset that has been held less than a specified period of time. growth has been given priority over profit on the German market. Spain Both sales and profit have improved considerably in Spain compared with last year. Altogether will probably the market investments in United Kingdom, France and Belgium initially effects the financial results negatively. Nevertheless United Kingdom runs better than expected. Public Offer for all shares in Texet AB The board of New Wave has decided to make a public offer to the shareholders of Texet AB for the acquisition of all stock in the company, listed on the IM-list. New Wave has no previous stock in Texet. The main shareholders who hold 87 per cent of the votes and 56 per cent of the capital in Texet are positive to the offer. Through the acquisition of Texet, New Wave will secure its leading position on the profile market in Northern Europe and become a leading player on the European European emanating from or pertaining to Europe. European bat lyssavirus see lyssavirus. European beech tree fagussylvaticus. European blastomycosis see cryptococcosis. market generally. Texet's international distribution net work, also provides a strong base for New Wave's continued international expansion. The Offer The offer refers to acquisition through a non-cash issue and means that the shareholders in Texet are offered a stock of B-series in New Wave for every 124 A-series shares and 134- B-series shares stock respectively in Texet. The holders of B-series stock in Texet with a holding not evenly divisible DIVISIBLE. The susceptibility of being divided. 2. A contract cannot, in general, be divided in such a manner that an action may be brought, or a right accrue, on a part of it. 2 Penna. R. 454. by 134 will be offered commission-free purchase or sale for the reverse split to a New Wave share by the aforementioned a·fore·men·tioned adj. Mentioned previously. n. The one or ones mentioned previously. aforementioned Adjective mentioned before Adj. 1. principal owner. The new capital issue in New Wave carries entitlement An individual's right to receive a value or benefit provided by law. Commonly recognized entitlements are benefits, such as those provided by Social Security or Workers' Compensation. to a share dividend from the 2000 financial year. The Value of the Offer The average final price paid for Texet's B-series of shares during the past ten business days prior to when trading was suspended sus·pend v. sus·pend·ed, sus·pend·ing, sus·pends v.tr. 1. To bar for a period from a privilege, office, or position, usually as a punishment: suspend a student from school. was SEK 1.01. The average final price paid for New Wave B-series shares during the same period was SEK 171.45. The offer corresponds to an offer value of SEK 95.496.621 and a premium of 36.9 per cent (Texet's A-series shares) and 26.7 per cent (Texet's B- series shares) respectively based on these average closing prices. The Reason for the Offer Through the acquisition of Texet, New Wave will become one of the largest profile companies in Europe. At the same time, New Wave will acquire one of the strongest brand names on the profile market, James Harvest Sportswear. New Wave expects major synergy The enhanced result of two or more people, groups or organizations working together. In other words, one and one equals three! It comes from the Greek "synergia," which means joint work and cooperative action. effects through, for example, the coordinated purchase of both products and services in the region of SEK 10-15 million within one year of the takeover, which is estimated to take place during the second quarter of 2000. In addition, long-term Long-term Three or more years. In the context of accounting, more than 1 year. long-term 1. Of or relating to a gain or loss in the value of a security that has been held over a specific length of time. Compare short-term. synergy effects will be achieved within logistics and marketing which, in total, are estimated to reach a further SEK 7-10 million on a yearly basis. In total, this will result in long-term synergy effects of SEK 17-25 million. The new corporation had over a rolling budget year October 1998 to September 1999 a pro forma As a matter of form or for the sake of form. Used to describe accounting, financial, and other statements or conclusions based upon assumed or anticipated facts. The phrase pro forma turnover of SEK 953.7 million. For the year 2000, the calculated total turnover for the corporation is expected to exceed SEK 1.200 million. After the acquisition, New Wave will have approximately 260 employees, of which 38 are employed in Texet. Bjorn Harenstam will remain as President of Texet. The aim is that Texet will continue to work through the current distribution channels. Investments The Group's net investments in fixed assets fixed assets npl → activo sg fijo fixed assets npl → immobilisations fpl fixed assets fix npl → for the year 1999 was SEK 32.5 (55.2) million. These investments has mainly been made in IT and was SEK 6.5 million, brands SEK 6.9 million and acquired business in England and the Netherlands amounted to SEK 10.9 million. Financing and Liquidity Cash flow after investments and company acquisitions for the period was - SEK 53.9 (127.2) million. Cash flow after change in accounts payable has been improved with SEK 50.6 million to - SEK 21.4 million. Liquid assets Cash, or property immediately convertible to cash, such as Securities, notes, life insurance policies with cash surrender values, U.S. savings bonds, or an account receivable. at the end of December 1999 were SEK 41.8 million compared with SEK 32.4 million for the same period in 1998. On December 31, 1999, net borrowing was SEK 290.5 million compared with SEK 245.1 million for the corresponding period in 1998. This is an increase of SEK 45.4 million. Personnel The number of people employed on a yearly basis over the past 12 months (January 1999-December 1999) was 237, compared with 221 people in the 1998 financial year. This increase is due to the setting up of subsidiaries. Preparation before year 2000 There were no operational disturbances due to the Millennium change. Views for 2000 The turnover will be SEK 1,200-1,300 million during 2000. The board also count with a considerable increase in profit for the 2000 financial year compared with the 1999 financial year. Refund TO REFUND. To pay back by the party who has received it, to the party who has paid it, money which ought not to have been paid. 2. On a deficiency of assets, executors and administrators cum testamento annexo, are entitled to have refunded to them legacies SPP (1) (Scalable Parallel Processor) A multiprocessing computer that can be upgraded by adding more CPUs. (2) (Standard Parallel Port) The Centronics parallel port that was used on the first PCs. Regarding information from SPP the allocated refund will be SEK 6.1 million. The amount has not yet been accounted. Share splitting The board has decided to suggest the Annual General Meeting to effect a share splitting of the New Wave Group AB's shares 2:1. The Parent Company Sales increased by SEK 5.2 million, or by 16 per cent to SEK 37.5 (32.3) million. The profit after financial items reduced to SEK 9.1 (12.8) million. For the period January-December 1999, net borrowing increased by SEK 65.8 million and investments by SEK 32.3 million. Annual General Meeting The Annual General Meeting of New Wave Group AB will take place on May 12, 2000 at 2 p.m. at Foreningssparbanken, Asbogatan 8, Boras Bo·rås A city of southwest Sweden east of Göteborg. It was founded in 1632. Population: 60,900. . An extra Annual Genedral Meeting will take place on March 31, 2000 at 2 p.m. at Foreningssparbanken, Asbogatan 8, Boras. The reason is the public offer for all shares in Texet AB (publ). Payment of Dividend The board has decided to suggest that the Annual General Meeting increases the dividend to SEK 4.00 (1.90) per share for the business year 1999, totalling approximately SEK 12.0 million. Boras, February 21, 2000 New Wave Group AB (publ) Board of Directors Forthcoming information The 1999 annual report will be distributed to the shareholders during the middle of April 2000. Report for the period January-March 2000 will be published on April 19, 2000. Report for the period January-June 2000 will be published on August 1, 2000. Report for the period January-September 2000 will be published on November 1, 2000. For further information, please contact: General Manager, Torsten Jansson, telephone +46 708 99 80 50, +46 33 22 58 55 Financial Manager, Jorgen Bender, telephone +46 708 99 80 55, +46 33 22 58 54 Please visit http://www.bit.se for further information The following files are available for download To receive a file transmitted over a network. In any communications session, "download" means receive, and "upload" means send. The download/upload often implies a big/little scenario, in which data is being downloaded from the "big" server into the "little" user's computer. : http://www.bit.se/bitonline/2000/02/21/20000221BIT00390/bit0001.doc The full report http://www.bit.se/bitonline/2000/02/21/20000221BIT00390/bit0002.pdf The full report |
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