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Skanska’s interim report for the period January to March, 1998,

4/29/1998 12:00 AM CET
Press release Financial reports

"The very strong increase in order booking is most gratifying" says Skanska CEO Claes Björk in his comments on the Group’s first-quarter report. "The increase, which is primarily attributable to the US and Finland, emphasizes the value of Skanska’s internationalization."

PRESS RELEASE, APRIL 29, 1998                            32/98

SKANSKA’S INTERIM REPORT FOR THE PERIOD JANUARY TO MARCH, 1998, APRIL 29, 1998

* Order bookings rose by 32 percent to SEK 19,290 M (14,608)
* Net sales rose by 27 percent to SEK 13,584 (10,681)
* Operating income rose to SEK 945 M (536)
* Income after net financial items rose to SEK 1,436 M (409)

"The very strong increase in order booking is most gratifying" says Skanska CEO Claes Björk in his comments on the Group’s first-quarter report. "The increase, which is primarily attributable to the US and Finland, emphasizes the value of Skanska’s internationalization."

"The Swedish property market shows strong growth," reports Claes Björk. "During the period, Skanska sold completed property development projects with excellent profitability. Also during the first quarter, the Group sold its remaining shareholding in Sandvik at a favorable price. This sale is a part of our business strategy, in which we are now focusing on core operations."

"Income from construction operations is normally weak in the first quarter, but on the whole, results from these operations are on par with the preceding year," notes Claes Björk. "In Sweden, we have already made considerable progress in the ongoing restructuring program, which is intended to provide more cost-efficient coverage of Skanska’s local market and achieve full effect next year."

"Skanska today is a knowledge company, active in all phases of the construction process. One example of this is the contract that Skanska received a few weeks ago for a rail link between New York’s Kennedy Airport and Manhattan," states Claes Björk. "Skanska’s share of this contract, which is valued at nearly SEK 5 billion, is the largest single order the company has ever received."

"This is exactly the type of large and advanced project in which we can fully leverage our competence and financial strength. Naturally, we hope this order will be followed by similar orders, both in the US and other markets," concludes Claes Björk.



Danderyd, April 29, 1998

SKANSKA AB
Group Corporate Communications



For further information, please contact: Cecilia Schön, SVP, Corporate Communications, Skanska AB, telephone +46 8 753 87 99
Staffan Schéle, Investor Relations, telephone +46 8 753 82 72
Erik von Hofsten, Investor Relations, telephone + 46 8 753 86 82

Enclosed: Skanska´s three month report January-March 1998