Skanska - Six month report, 1999

"The trend during the first half of 1999 was very favorable, both in our construction operations and project development work. Our greater focus on core business and the restructuring we have implemented are thus yielding continued good results," says Skanska President and CEO Claes Björk in a comment to the six month report.

"In construction operations, we had strong revenue growth, and our overall earnings and operating margin both increased significantly - with an especially pleasing trend in the United States, Sweden and Finland. By acquiring the Argentine-based SADE and two American construction companies, the Gottlieb Group and Etkin, we also further strengthened our international market base."

"Demand for commercial space, offices and housing remained very strong, and conditions for developing new projects were therefore very good in the markets on which we focus. During the first half, we began two additional major projects. Given an expected yield of 11 percent, we expect our ongoing projects to show good returns.

"The outlook in our main markets is favourable. We anticipate a continued positive income trend during the second half of 1999, consistent with the trend during the first six months. "

Stockholm, August 30, 1999

Skanska AB
Group Communication

For additional information, contact:
Staffan Schéle, Investor Relations         tel +46 8 753 82 72
Erik von Hofsten, Investor Relations     tel +46 8 753 86 82

Attached: Skanska's interim report for January-June 1999