Amer Group 2004 final results (IFRS)

Comparable net sales of sports equipment in local currencies rose by 11%.

- Amer Group's net sales were EUR 1,058.8 million (2003: EUR 1,094.1 million).
- Earnings before interest and taxes (EBIT) amounted to EUR 122.0 million (117.7) and earnings per share were EUR 1.19 (1.12).
- Exiting from the tobacco business improved EBIT by EUR 10.1 million, but reduced net sales by EUR 86.4 million compared to 2003.
- Following the EGM held on December 13, 2004, the Company's share capital was increased by means of an EUR 190,452,960 bonus issue from EUR 95,226,480 to EUR 285,679,440. Under the terms of the bonus issue, a shareholder received two new shares for one old share.
- In 2005, comparable net sales of the sports equipment business in local currencies are expected to grow 3-5% compared with 2004. Earnings per share for 2005 are expected to be EUR 0.90-1.05.
- Proposed dividend EUR 0.50 per share (0.47)

EUR million	2004	2003	Change %
NET SALES	1,058.8	1,094.1	-3
GROSS PROFIT	438.6	420.8	4
EBIT	122.0	117.7	4
Financing income and expenses	-3.4	-8.2
EARNINGS BEFORE TAXES	118.6	109.5	8
NET RESULT	84.5	78.1	8

Earnings per share, EUR*)	1.19	1.12
ROCE, %	21.5	21.1
ROE, %	19.2	18.8

*) Bonus issue-adjusted, 1:2

Roger Talermo, President & CEO, Amer Group:

"2004 was a year of positive trends in the sports equipment market. At Amer Group, growth has been especially strong in the Fitness Equipment Division with net sales in local currencies growing by 31%. The product groups that saw the greatest sales growth were elliptical fitness equipment, treadmills, and stationary cycles. Sales were also boosted by the acquisitions made in January 2004.

The Golf Division achieved its objective for 2004: to be back in the black. Profitability was improved by the reorganization of Wilson in the United States, a process that got under way in 2003, and by the related realignment of its cost structure to better match business operations.

Team Sports continued to perform well, breaking its previous earnings record. Comparable net sales in local currencies rose by 13%. The product groups that particularly improved sales performance were baseball and softball bats. Team Sports' growth was also fueled by the acquisition of Athletic Training Equipment Company Inc., a baseball and softball training equipment manufacturer, in November 2003.

The Winter Sports Division's comparable net sales in local currencies grew by 11%. Atomic ski boots and bindings had a successful year. Sales were boosted by many new products and product improvements as well as a good year on the World Cup circuit.

The Racquet Sports Division's comparable net sales in local currencies rose by 6%. Wilson's market share of premium tennis racquets increased strongly. Profitability was improved substantially.

Sports Instruments' comparable net sales in local currencies rose by 3%. Suunto launched products such as the D9, a wrist-mounted dive computer - the world's first dive computer to incorporate a digital compass.

We built up our sales network by setting up Amer Sports own sales and distribution companies in Italy, Russia, and Estonia towards the end of 2004. Thanks to the new companies, Amer Sports sales and distribution organization is now represented in 31 countries.

In 2005, Amer Group's comparable net sales in local currencies are expected to grow by 3-5% compared with 2004. In 2005, the Company expects that growth in demand for sports equipment will plateau in the United States, while demand is anticipated to keep recovering slowly in Europe and Japan.

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