MNOK
PROPERTY DEVELOPMENT	Q2 2010	Q2 2009	2009	2008
Operating revenues	305.7	236.2	711.2	1 401.8
Earnings before tax	13.0	2.5	-73.9	19.4
Number of apartments under construction	614	356	310	638

This division includes the development of housing for its own account, as well as non-residential buildings for private and public sector customers. Activities are concentrated around the largest cities in Norway and Sweden.

The second quarter was marked by increased activity and satisfactory sales of new projects. Revenues increased compared with last year and profit before tax was MNOK 13.0 against MNOK 2.5 in the same quarter last year. The improvement is gratifying, but the performance level is still impacted by ongoing projects which are at an early stage and thus provide relatively low profit.

The market has shown a gradual improvement in the past year. Sales of new projects have been reasonably good wit 159 dwellings sold in the quarter compared with 107 in the first quarter.

The new-housing market is still somewhat hesitant. Due to a low start-up level the previous year, the production level is still low but is rising. At the end of the quarter, the number of residential units in production was 614, against 310 at the end of 2009. Projects totalling an additional 500 housing units are planned to start up within the second half if pre-sales are satisfactory.

At the end of the quarter, the division had a land bank in Norway and Sweden corresponding to 8000 units.

Property development in Norway
Property development in Sweden
Property development in Denmark