PAN - REFINANCING

Pan Fish's Board of Directors today unanimously accepted the company's refinancing plan as negotiated with the company's bank syndicate. The refinancing plan allows Pan Fish sufficient financial and operational freedom to regain the position as one of the world's leading aquaculture companies.

As communicated at the presentation of the company's Q2 results, Pan Fish has sought a total financing solution for the company. These efforts have aimed at strengthening the company's solidity and cash position, to allow Pan Fish to regain its competitiveness and realize the company's strategic goals. After close and constructive cooperation with the company's bank syndicate, Pan Fish succeeded at negotiating a plan to sufficiently refinance the Pan Fish Group.

The refinancing agreement comprises the following main points:

        Depreciation of the share capital, based on an intermediate financial balance as at 30 June 2003, through depreciation of the share face value to NOK 0.04.

        Debts to the bank syndicate of NOK 900 million are partially (NOK 750-790 million) converted to share capital at a price of NOK 0.05 and partially (NOK 100-150 million) to a convertible, liable loan. The convertible loan will have a conversion price of NOK 0.05.

        A sale of shares by the banks secures equal treatment of all current shareholders.

        The company is ensured necessary liquidity through the sale of non-core assets.

        The company's current loan covenant with the bank syndicate will be renegotiated before the extraordinary general meeting.

Pan Fish's equity after refinancing should be viewed in connection with the considerable restructuring of the company's balance sheet that was carried out in Q4 2002 and Q2 2003. All goodwill is written-down to zero and the company's license portfolio is booked at a mere NOK 662 million. As the market price of salmon is currently recovering, Pan Fish's competitive position is strengthened and the company is well-positioned to regain its place as a leading and profitable aquaculture enterprise. The risks listed in the Q2 report regarding further depreciations connected to Pan Fish's Canadian operations, will under no circumstances affect the company's balance sheet in the short run, and, should they occur, the effect on liquidity should be limited. Given the current refinancing and developments in the price of salmon, Pan Fish's equity would be positive, even with a total readjustment of the company's Canadian operations.