Algol posts a satisfactory result in 2002

The main figures for the Algol Group in the accounting year 2002 closely
matched those of the previous year. Net sales increased to EUR 164 million and
total sales to EUR 230 million. The Group posted a positive result of EUR 4
million, which was however slightly less than in 2001. Algol´s solidity
continued to be excellent.

According to Managing Director Magnus Bargum, Algol´s result in 2002 is
satisfactory, especially considering the weak economic indicators that
overshadowed this operating period. He nevertheless emphasizes that these
figures are consolidated results for the Group and that there are differences
between business and market areas.

Magnus Bargum believes that Algol´s diversity and solid financial position
continue to provide substantial support for the Group in the prevailing weak
market conditions. Economic fluctuations are also levelled out somewhat by
Algol´s three traditional product sectors: raw materials, which react
sensitively to changes in the markets; deliveries of machinery and equipment,
which benefit from longer business cycles; and the pharmaceuticals sector,
which operates within its own market segment.

Algol´s trade in raw materials has increased in volume despite weaker demand.
This is due primarily to the Group´s acquisitions in recent years, which have
extended Algol´s sourcing network and market areas. The emphasis within the
machinery and equipment sector has been focused particularly on developing
regional sales and servicing networks. The emphasis within the pharmaceuticals
sector meanwhile has been on increasing the range of new products.

Given the current threats that surround the international political situation
and the ongoing uncertainty surrounding the global economy, the Algol Group is
obliged to show caution regarding forecasts for the new year. Having expanded
from Finland into the Baltic Countries, Scandinavia and Russia, Algol continues
to benefit, according to Magnus Bargum, from the diversity of its home markets
and the different levels of development in each of these markets. For example,
in Russia especially, as well as in certain areas within the Baltics, growth
continues to be strong.

[> Key Figures
2002

]

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