After-Tax Profits ISK 73.2 Million

At a meeting of the Board of Directors of Iceland Prime Contractor, held on 15 May 2003, the interim financial statements for the first quarter of the year 2003 were ratified. The interim financial statements for Iceland Prime Contractor contain the consolidated financial statements of the parent company and its subsidiaries. They were prepared according to the same accounting methods as those used for the prior year.

Operations in the First Quarter of 2003
Operating revenues for the Iceland Prime Contractor Group totalled ISK 2.299 billion for the first quarter of 2003, as compared with ISK 1.283 billion for the same period in the prior year. Profits before financial items, taxes and depreciation (EBITDA) totalled ISK 77.4 million, as compared with ISK 90.8 million for the first quarter of 2002. Profits before financial items and taxes amounted to ISK 5.5 million in the first quarter of the current year, as opposed to ISK 18.4 million for the same period in the prior year. The Company%u2019s profits before taxes, including the income from an associated company, totalled ISK 88.1 million, as compared with ISK 129.2 million for the same period in the year 2002. After calculated taxes, the Companys profits for the first quarter of the year 2003 amounted to ISK 73.2 million, as opposed to ISK 110.7 million for the same period in the year 2002.