Kungsleden has received negative tax rulings

Kungsleden has today received tax rulings from the Stockholm Administrative
Court in cases to which Kungsleden is party. The Court found that Kungsleden is
not to be permitted deductions for the impairment of lagerandelar (defined in
Swedish law as a construction company´s shareholding in a property management
company) in relation to external acquisitions made in taxation years 2006-2008.
The cases are very similar to the so called “Steen and Ström-case” where the
administrative court also denied deductions whilst the Stockholm Administrative
Court of Appeal later granted deductions.
Kungsleden has not provided against the current tax rulings. The financial
effects are however included in the estimate of maximum negative effects which
Kungsleden has previously communicated.

Earnings effect
The effect on earnings will be, in a final negative outcome, approximately 1 580
MSEK, including interest.

Liquidity effect
The liquidity effect will be, in a final negative outcome, approximately 1 400
MSEK, including interest.
The timing of the effects depends on when Kungsleden´s tax cases are definitely
ruled on by the courts.
Estimate of maximum negative effects in tax cases
Kungsleden estimate of maximum negative effects in tax cases remains unchanged
and is summarized in the table below.

+-----------------------------------+----------------+-------------------+
|MSEK                               |Effect on equity|Effect on liquidity|
+-----------------------------------+----------------+-------------------+
|Provision, Q2 2009                 |             325|                  0|
+-----------------------------------+----------------+-------------------+
|Provision, Q2 2012                 |             725|                260|
+-----------------------------------+----------------+-------------------+
|Deposited in anticipation of ruling|               -|               -100|
+-----------------------------------+----------------+-------------------+
|Total provision for tax cases      |           1 050|                160|
+-----------------------------------+----------------+-------------------+
|Tax cases not provisioned          |           2 930|              2 920|
+-----------------------------------+----------------+-------------------+
|Deposited in anticipation of ruling|               -|               -160|
+-----------------------------------+----------------+-------------------+
|Total                              |           3 980|              2 920|
+-----------------------------------+----------------+-------------------+

Kungsleden´s opinion
Kungsleden´s opinion remains that the company has fully complied with the laws
and practice in place when submitting each tax return. Kungsleden does not agree
with the decision made by the administrative court and therefore intends to
appeal the tax rulings to the administrative court of appeal.
For more information, please contact:

Thomas Erséus, Chief Executive of Kungsleden | tel +46 (0)8 503 05204 | mobile
+46 (0)70 378 2024
Anders Kvist, Deputy Chief Executive of Kungsleden | tel +46 (0)8 503 05211 |
mobile +46 (0)70-690 65 63

www.kungsleden.se
Detta pressmeddelande finns tillgängligt på svenska på
www.kungsleden.se/pressmeddelanden

Kungsleden AB (publ) discloses the information in this press release according
to the Swedish Securities Markets Act and/or the Swedish Financial Trading Act.
The information was provided for public release on 12 March 2013 at 5:45 p.m.

Kungsleden’s business concept is to own, manage and enhance properties in
Sweden’s growth regions, and to generate sustainable high and stable returns.
The focus on value creation is by satisfying customers’ needs for premises,
managing and enhancing properties, and optimising the company’s property
portfolio. Kungsleden has been quoted on Nasdaq OMX Stockholm since 1999.