| | | | | | MNOK |
| Property Development, Norway | Q2 2009 | Q2 2008 | At 30 June 2009 | At 30 June 2008 | 2008 | 2007 |
| Operating revenues | 133.7 | 194.4 | 199.0 | 412.5 | 631.7 | 1 389.1 |
| Operating expenses | -125.4 | -185.6 | -198.1 | -374.1 | -570.2 | -1 202.5 |
| Depreciation | -2.3 | -1.3 | -3.9 | -2.6 | -6.5 | -4.4 |
| Operating profit (EBIT) | 6.0 | 7.5 | -3.0 | 35.8 | 55.0 | 182.2 |
Share of profit associated
companies and joint ventures | - | 0.9 | -1.5 | 3.8 | 61.6 | 298.5 |
| Net financial items | -5.2 | -13.3 | -31.3 | -29.0 | -166.5 | -49.3 |
| Earnings before tax (EBT) | 0.8 | -4.9 | -35.8 | 10.6 | -49.9 | 431.4 |
| Total assets business area | 1 895.4 | 2 012.5 | 1 895.4 | 2 012.5 | 2 255.1 | 2 131.7 |
After nearly two years of weak conditions and low sales in the housing market, we saw clear signs of improvement in the second quarter. This applies particularly to Eastern Norway. A total of 63 housing units were sold during the quarter, as against 41 in all of 2008.
The Norwegian property operations had a second quarter turnover of MNOK 134 (MNOK 194 in the second quarter of 2008). Earnings before tax were MNOK 0.8, as against
MNOK -4.9 in the same quarter of 2008. The result reflects a low level of activity, as well as few dwellings and projects under construction.
At the end of the quarter, the division had 118 dwellings under construction in four projects. The equivalent numbers for the second quarter of 2008 were 440 dwellings in 10 projects. 39 (87) dwellings under construction remain unsold. In addition, 95 (86) completed dwellings remained unsold at the end of the quarter spread over eight projects. Of these, 78 dwellings are leased at present. The sale of completed dwellings has been satisfactory in Eastern Norway, while sales are still slow in Trondheim.
In the non-residential market, two office buildings are under construction, covering a total of 13 000 m2. These projects are located in Skien and Porsgrunn, and have mainly been leased to public enterprises. The projects will be completed at the turn of the year 2009/2010.
In Norway, the portfolio of development sites constituted 3,350 housing units at the end of the quarter. 1,100 of these will be ready for construction in the course of 2009. In June, three projects with a total of 104 housing units were put up for pre-sale, all in the Oslo area. Sales have been fairly good in the first phase, and provided we achieve satisfactory advance sales, the projects will be started up in the autumn. Priority has been assigned to continuing to develop the site portfolio so that as many projects as possible are ready for sale and construction when demand picks up in the future.
