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SARDUS IN THE FIRST QUARTER OF 2007

24.4.2007 10:43
Atria Group Plc's subsidiary AB Sardus (publ) listed on the Stockholm Stock
Exchange has today published the following release. 

ATRIA GROUP PLC

Further information: CEO Matti Tikkakoski, Atria Group Plc, tel. +358 50 2582.


ATTACHEMENT: AB SARDUS (publ) release 24 April 2007 (translation from Swedish)


SARDUS IN THE FIRST QUARTER OF 2007 

Improved results due to good sales and margin development for several units

Sardus's results for the first quarter of 2007 increased to SEK 19 million
(11). The result improvement is attributable to a good sales and margin
development for several units. The net turnover increased by 8% to SEK 509
million (470). The results per share before dilution amounted to SEK 1.34
(0.87). The change program at Sardus Lätta Måltider has had a positive effect
as of the month of March. 

The Finnish food group Atria, that has made an offer for Sardus, owned 
99% of the share capital on April 16. This means that a compulsory purchase
procedure has begun. 

The positive earnings trend in the first quarter of the year mainly depends on
an improved sales and margin development, first and foremost within the units
Sardus Chark & Deli and Sardus Foodpartner, but also Falbygdens Ost and
3-Stjernet show a good sales development and an expense decrease. 

Another contributing factor to the improved results is the extensive change
program at Sardus Lätta Måltider, that started during the fourth quarter of
2006 and has had an obvious effect as of the month of March. Petri Salminen was
appointed new Director of this unit on April 1. 

'We are very pleased to see that Sardus' new strategy and the rationalization
work that we have begun at our different units are having an obvious effect.
All units are developing in the right direction, with increased sales and
improved results, especially within Sardus Chark & Deli and Sardus
Foodpartner,' says Per Strömberg, CEO of Sardus. 

On February 19 the Finnish food group Atria, through their Swedish subsidiary,
made an offer of SEK 115 per share for the outstanding shares in Sardus. The
offer was unconditional and was recommended by the Sardus Board of Directors.
As of April 16 Atria owns 99 per cent of the Sardus share capital and voting
power. The share will be delisted from the Stockholm Stock Exchange on April
27. The compulsory purchase procedure for the remaining Sardus shares has
begun. 

Helsingborg April 24 2007
AB SARDUS
Per Strömberg
Chief Executive Officer



AB Sardus (publ.) 
Organisation number 556131-6711			
Quoted on the OMX Nordic stock exchange list, Small Cap

QUATERLY REPORT FOR JANUARY - MARCH 2007

- The net turnover increased by 8 per cent and amounted to SEK 509 million (470)
- The income before tax amounted to SEK 19 million (11).
- The income after tax amounted to SEK 14 million (9) 
- The result per share before dilution amounted to SEK 1.34 (0.87).
- The result improvement for 2007 is attributable to a good sales and margin
development for several units. 
- The ongoing change program at Sardus Lätta Måltider has had a positive effect
as of the month of March. 
- Following their February offer Atria owned 99 per cent of the Sardus share
capital and voting power on April 16. The share will be delisted on April 27.
The compulsory purchase procedure has begun. 

The Sardus group's profit and loss statement (SEK million)	 	 	 	 
                                 3 months       Rolling        2006
                              2007      2006    12 months      Whole year
Net turnover                   509       470        2,159           2,120    
The cost of sold goods       - 408     - 387      - 1,786         - 1,765    
Gross margin                   101        83          373             355    
Other operating income           2         1           13              12    
Sales costs                  -  43     -  37      -   174         -   168    
Administrative expenses      -  28     -  25      -   120         -   117    
Operating profit                32        22           92              82    
Net financial income/expense -  13     -  11      -    47         -    45    
Profit/loss before tax          19        11           45              37    
Tax expense                  -   5     -   2      -    12         -     9    
Net income/loss                 14         9           33              28    


DEVELOPMENT AND EVENTS DURING THE FIRST QUARTER OF 2007

Turnover
The net turnover for the first quarter increased by 8 per cent to SEK 509
million (470). Compared to the corresponding period the previous year the
increase can be explained by the fact that Sardus Chark & Deli and Sardus
Foodpartner have enjoyed a favourable sales development during the first
quarter of the year. Another contributing factor to the increase is Sardus
Lätta Måltiders's purchase of Peigs on April 1 2006. 

Earnings trend
The group's income before tax for the first quarter amounted to SEK 19 million
(11) and the income after tax amounted to SEK 14 million (9). 

The significant increase for the whole group has taken place despite the fact
that the business unit Sardus Lätta Måltider shows a smaller income compared to
the first quarter of 2006 (before the purchase of Peigs April 1 2006).
Consequently, the other business units show a strong earnings trend. 

The decrease in income for Sardus Lätta Måltider was to be expected, as the
expense basis of the business unit is bigger than for the corresponding period
2006, and the obvious expected result improvement didn't occur until the month
of March. This result improvement is likely to continue and to give an
important improvement for the second quarter of 2007, when the business
activities are expected to flourish. An extensive change program to decrease
the cost level is in progress. 

In October 2006 there was a change at management level at Sardus Lätta
Måltider, which meant that the then manager left his position while Petri
Salminen was appointed new manager. He took up his duties on April 1 and has
long experience of restructuring work within the food industry, with short lead
times. During the transfer period, the unit has been managed by the group's
Goods Flow Manager Harley Clausen. 
 
Sardus's business units Sardus Chark & Deli and Sardus Foodpartner have enjoyed
a favourable sales development in the first quarter of the year. Combined with
the extensive change program that started in 2006, it has led to considerable
result improvements. Falbygdens Ost and 3-Stjernet show a good sales
development for the first quarter of the year compared to the same period the
previous year. During the first quarter of the year the income growth for these
units has been propelled by an expense decrease etc. 

The result per share before dilution in the first quarter amounted to SEK 1.34
(0.87). 


EVENTS AT GROUP LEVEL

Atria's purchase of Sardus
On February 19 the Finnish food group Atria, through their Swedish subsidiary,
made an offer of SEK 115 per share for the outstanding shares in Sardus. The
offer was unconditional and was recommended by the Sardus Board of Directors.
As of April 16 Atria owns 99 per cent of the Sardus share capital and voting
power. The share will be delisted from the Stockholm Stock Exchange on April
27. The compulsory purchase procedure for the remaining Sardus shares has
begun. 

AGM 2007
At Sardus's annual general meeting on April 17 2007, the proposition from the
board of directors, about a dividend of SEK 1.50 per share for the financial
year of 2006, was adopted. 


THE DEVELOPMENT OF THE BUSINESS UNITS

Sardus Chark & Deli 
The turnover for the first quarter increased by 6% to SEK 206 million (195) and
the operating profit increased to SEK 23 million (15). The turnover development
is characterised by a strong sales trend for the Sardus trademark. The result
improvement that began in the fourth quarter of 2006 continued in the first
quarter of 2007. The selling of sliced ham etc. for sandwiches in a so-called
wallet format, liver paté and brawn increased significantly. The launch of
liver paté in tubes in 2006 attracted a lot of attention and led to a general
increase in consumer interest for Sardus's liver paté products. 
Good volume development and a number of rationalization activities in order to
strengthen the competitiveness within the unit have led to continuous
improvements of the product margins in the first quarter, which partly have
been reinvested in further marketing. 

3-Stjernet 
The turnover for January - March increased by 4 per cent to SEK 80 million (77)
and the operating profit increased to SEK 10 million (9). The turnover on the
domestic market has increased mainly due to a price increase in the autumn of
2006. Production downsizing has led to lower manufacturing expenses, which also
have contributed to the result improvement. 

Falbygdens Ost
The turnover for January - March increased by 4 per cent and amounted to SEK
104 million (100), inter alia due to a steep increase in the selling of
imported dessert cheese. The operating profit amounted to SEK 6 million (0) and
was affected in a positive way by a stock reevaluation as well as by lower
costs. 

Sardus Foodpartner - Big households
During this quarter the turnover increased by 11 per cent and amounted to SEK
56 million (50). The sales development was favourable within all areas and
especially within the Gourmet services Patés and salads. The strong volume
development combined with an improved product mix contributed to an increase in
operating profit to SEK 4 million (2). 

Sardus Lätta Måltider
For January - March the turnover increased by 29 per cent, mainly due to the
purchase of Peigs, and amounted to SEK 75 million (58). The operating profit
was SEK -9 million (-4). 
In 2006 the business unit was in a build-up phase with a strong growth. After
the purchase of Peigs there was a production and distribution restructuring in
the second quarter of 2006. Prioritizing of delivery accuracy during this
period, in combination with a strong growth, led to an unsustainable cost
level. In the fourth quarter of 2006 powerful measures were taken to rectify
the high cost structure, showing clear results as of March 2007. 

FINANCING AND LIQUIDITY
The group's liquid assets amounted to SEK 37 million (40) on March 31 2007. In
addition there is an unused credit of SEK 256 million (545). In the first
quarter the cash flow from the current business activities amounted to SEK 13
million (-21). The net financial income/expense amounted to SEK -13 million
(-11). 

INVESTMENTS
The group's total investments during the first quarter of the year amounted to
SEK 9 million (10). 

NUMBER OF OUTSTANDING SHARES
No new shares have been issued during this period. The number of outstanding
shares therefore amounts to 10,107,875. 

ACCOUNTING POLICIES
This interim statement for the group has been drawn up in accordance with the
IAS 34 Interim Statements and the Swedish Financial Accounting Standards
Council recommendation RR 31 Interim Statements for groups. As of January 1
2007 the accounting policy for the accounting of turnover-related activity
expenses at Sardus Lätta Måltider has been modified. The policy was introduced
retroactively with a recalculation of the figures for the comparative year. For
the first quarter of 2006 the change of policy has meant that the net turnover
and the selling expenses have decreased by SEK 3 million and for the whole of
2006 there is a decrease of SEK 15 million.  As of January 1 2007 distribution
costs are classified as Cost of goods sold. Previously, they were classified as
Selling expenses. The figures for the comparative year have been recalculated.
For the first quarter of 2006 the change of policy has meant that the selling
expenses have decreased by SEK 12 million and SEK 48 million respectively for
the whole of 2006. The cost of goods sold has increased by the corresponding
amount. 

The changes of policy affect the gross profit/loss but have no effect on the
operating profit, the income before tax, the income after tax or equity
capital. As for the rest, the group's accounting policies remain unchanged
compared to the ones applied for the annual report of 2006. 

 
Helsingborg April 24 2007

AB Sardus (publ.)
The Board of Directors

For further information, please contact:
CEO Per Strömberg, mobile phone +46 (0)70-385 11 91 
Financial Director Sven Lindskog, mobile phone +46 (0)70-335 52 45.



INTERIM REPORT JANUARY-MARCH 2007										
Sardus Group - Statement of Income (MSEK)				 						
                                 3 months        Running       2006			
                              2007      2006     12 months     Whole year			
Net sales                      509       470     2 159         2 120    
Cost of goods sold            -408      -387    -1 786        -1 765    
Gross profit/loss              101        83       373           355    
Other operating income           2         1        13            12    
Selling expenses               -43       -37      -174          -168  
Administrative expenses        -28       -25      -120          -117   
Operating profit/loss           32        22        92            82    	 
Net financial income/expense   -13       -11       -47           -45    
Profit before tax               19        11        45            37    	
Tax expense                     -5        -2       -12            -9    	
Net income                      14         9        33            28    			
Earnings per Share               3 months         Running       2006
                              2007      2006      12 months     Whole year
Number of shares(millions)    10,1      10,1           10,1     10,1    
Number of shares after 
dilution (millions)           10,2      10,2           10,2     10,1   
Earnings per share, SEK       1,34      0,87           3,20     2,74   
Earnings per share 
after dilution (SEK)          1,33      0,87           3,18     2,73    			
						
Sardus Group - Balance Sheet (MSEK)							
                                    07 03 31       06 12 31     06 03 31
Assets							
Intangible assets                        429            426          428    
Tangible assets                          501            501          507    
Financial assets                           9              5            3    
Fixed assets                             939            932          938    
					   	   	
Inventories                              239            236          224    
Receivables                              287            273          253    
Cash                                      37             55           40    
Current assets                           563            564          517    
Total assets                           1 502          1 496        1 455    
							
Equity and liabilities				
Equity capital                           393            374          391    
Subordinated loan                        240            259          249    
Long-term interest-bearing liabilities   510            503          469    
Other long-term liabilities                87             86         101    
Short-term interest-bearing liabilities     6              7           6    
Other short-term liabilities              266            267         239    
Total Equity and liabilities            1 502          1 496        1 455    


Change of Equity Capital (MSEK)      07 03 31       06 12 31     06 03 31
Equity capital at the start of 
the period according to adopted 
balance sheet                             374            378          378    
Translation differences                     4            -10           -1    
Change of statutory reserve                 1              7            4    
Total wealth change accounted for 
directly against equity capital, 
excluding transactions with the 
company's owners                            5             -3            3    
Period profit/loss                         14             28            9   
Total wealth change, excluding 
transactions with the company's owners     19             25           12   
Dividend                                    -            -30            -	 
New share issue                             -              1            1
Capital carried forward                   393            374          391    		

Sardus Group - Net Sales and Operating Profit/loss per Business Unit (MSEK)	

                                     3 months        Running       2006	
Net sales                         2007      2006     12 months     Whole year
Sardus Chark & Deli                206       195           826          815   
Sardus Lätta Måltider               75        58           369          352   
Sardus Foodpartner                  56        50           221          215   
3-Stjernet                          80        77           322          319   
Falbygdens Ost                     104       100           468          464   
Group in co-operation              -12       -10           -47          -45   
Group total                        509       470         2 159        2 120   
		 
                                     3 months         Running        2006		
Operating profit/loss             2007      2006      12 months      Whole year
Sardus Chark & Deli                 23        15             68            60  
Sardus Lätta Måltider               -9        -4            -47           -42 
Sardus Foodpartner                   4         2             15            13
3-Stjernet                          10         9             43            42  
Falbygdens Ost                       6         -             28            22 
Group in co-operation               -2         -            -15           -13
Group total                         32        22             92            82  
 		 
Cash Flow Statement (MSEK)	
                                            2007           2006      2006	
                                            3 months       3 months  Whole year
Profit before tax                             19             11            37  
Depreciation                                  18             17            77 
Other non-cash relevant itmes                  -              -             2
Paid tax                                     -19            -12           -28  
Change of operating capital                   -5            -37           -63 
Cash flow from running operation              13            -21            25  
Investment in fixed assets                    -9            -10           -64 
Fixed assets sales                             -              -             5  
Acquisition of subsidiary company              -              -            -6 
Raised loanes/amortization                   -22            -14            40 
Dividend                                      -               -           -30  
New share issue                               -               1             1 
Cash change                                 -18             -44           -29
Cash at the start of the period              55              84            84 
Cash at the end of the period                37              40            55  
 			 

Key Ratios							
                                      3 months        Running     Whole year
                                   2007      2006     12 months   2006
Turnover, MSEK                      509       470     2 159       2 120   
Operating profit/loss, MSEK          32        22        92          82   
Profit margin, %                    6,2       4,7       4,3         3,9 
Average capital employed, MSEK    1 100     1 054     1 094       1 060   
Return on capital employed, %      11,6       8,4       8,4         7,7			 
Genomsnittligt eget kapital, Mkr   383        385        392        376    
Return on equity capital, %       14,6        9,4        8,4        7,4
Equity ratio, %                     26         27         26         25
Debt/equity ratio, times           1,8        1,7        1,8        1,9
Interest coverage ratio, times     2,5        2,0        2,0        1,8
Number of outstanding shares 
(millions)                        10,1       10,1       10,1       10,1
Number of own shares (millions)    0,0        0,0        0,0        0,0
Average number of own shares 
(millions)                         0,0        0,0        0,0        0,0
Average number of shares 
(millions)                        10,1       10,1       10,1       10,1    
Number of shares after dilution 
(millions)                        10,2       10,2       10,2       10,1    
Earnings per share, SEK           1,34       0,87       3,20       2,74    
Earnings per share after dilution, 
SEK                               1,33       0,87       3,18       2,73    
Net worth per share               38,9       38,7       38,9       37,0    
Gross investments, excluding 
acquisitions, MSEK                   9         10         63         64    
Depreciation of fixed assets, MSEK  16         15         65         64    
Depreciation of intangible fixed 
assets, MSEK                         2          2         11         11    
Number of employees                976        932        976      1 044    			
This interim report has not been audited by the company's accountants.										

Financial information 2007										
Due to the delisting of the Sardus share from the Stockholm Stock Exchange on
April 27 2007, no more interim reports are likely to be published. 
							
			
Sardus is one of Sweden's leading producers of sandwich toppings and light
meals, and a leading supplier of frozen foods to the catering trade. The
products are marketed under strong, well-established brands.										 
Sardus Chark & Deli is the name of new business unit that has emerged through
the fusion of Pastejköket and Charkdelikatesser. Sardus Chark & Deli is the
strongest player in its segment, with well-known products as Arbogapastej,
Lönnebergaskinka, Onsalakorv, Norrbodakorv, Charkdelikatesser, Gea's
blodpudding, Eliassons guldkassler and Pastejköket. Sardus Chark & Deli is the
market leader in products as liver paste, smoked sausages, brawn, and blood
pudding.							 

Sardus Lätta Måltider is a recently started business unit that focuses on fast
food customers. It offers a large assortment of light ready-cooked meals in a
wide range of outlets, from supermarkets to conventient stores and service
stations.							 
							
Sardus Foodpartner is one of the leading suppliers of frosen food to the
large-scale household market. Gourmet Service provides sandwiches, salads and
dressings, souces, as well as salmon and seafood patés. Sardus Foodpartner was
founded in 1984.							 
3-STJERNET is one of Denmark's leading suppliers of meat toppings for
sandwiches, such as salami. About 30% is aimed at the export market. The
company was founded in 1950.							 
Falbygdens Ost is a leading cheese processing company in Sweden. The company
specializes in its own extra matured quality cheese, that is marketed under
well-established brands, like Morfars Brännvinsost, S:t Olofs Herrgårds, Birger
Jarl, and "1878". The company was founded 1878.								 

AB Sardus * Drottninggatan 14 * 252 21 Helsingborg * Sweden * Tel +46 42-38 14
00 Fax 042-38 14 11 * info@sardus.se * www.sardus.se	 


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