NCC excluding Bonava


NCC is publishing items affecting comparability for the second quarter of 2016,
and comparative figures for NCC excluding Bonava for 2015 and the first quarter
of 2016.
In June 2016, NCC distributed the shares in Bonava to NCC shareholders. Bonava’s
first day of trading on Nasdaq Stockholm was June 9, 2016, and the closing price
was SEK 106.50 for Series B shares and SEK 107.50 for Series A shares,
representing a market capitalization of about SEK 11.5 billion for Bonava.

NCC’s transaction costs of SEK 62 M for dividend and listing of Bonava will not
be charged to the income statement, but charged directly against shareholders’
equity.

NCC has now decided to discontinue the development and implementation of a joint
HR system, which means that SEK 90 M, pertaining to previously capitalized
amounts,

will be charged against NCC’s earnings for the second quarter of 2016. The
reasons are the challenges of implementation and user-friendliness and that the
system does not adequately support NCC’s Nordic organization and way of working.
Today, there are simpler and more functional standard solutions available and
NCC’s digital strategy is moving toward more cloud-based solutions. Bonava’s
earnings will not be charged with any costs for this.

NCC’s earnings will be positively impacted by an amount of SEK 118 M in the
second quarter, due to internal gains derived from ongoing housing production
for Bonava being dessolved.

Bonava is recognized as a discontinued operation and was included in NCC’s
income statement until June 7, 2016. In addition to Bonava’s earnings for the
period, NCC will also recognize the difference between Bonava’s market
capitalization on the listing date and Bonava’s shareholders’ equity on the
dividend date as profit from discontinued operations, in accordance with IFRS 5.
These earnings will therefore impact earnings for the period from continuing and
discontinued operations.

In interim reports for 2016, the comparative figures for 2015 will not be
adjusted in the balance sheet and cash flow in accordance with IFRS. NCC will
instead show how balance sheets and cash flows would have looked excluding
Bonava in a note.

You will find tables and figures in the attached document. The tables and
figures below have not been prepared in accordance with IFRS, and have not been
audited or examined by the company’s auditors. The comparative figures
illustrate the effect on NCC’s income statement, balance sheet and cash flow if
Bonava had not been part of NCC.

NCC will publish its interim report for January-June 2016 on July 20 at 8:00
a.m.
For further information, please contact:

Mattias Lundgren, Chief Financial Officer, NCC AB, +46 8 585 517 65, +46 70 228
88 81

Johan Bergman, Investor Relations Manager, NCC AB, +46 8 585 523 53, +46 70 354
80 35

NCC’s press telephone: +46 8 585 519 00, E-mail: press@ncc.se
This is the type of information that NCC could be obligated to disclose pursuant
to the Securities Market Act. The information was issued for publication on July
1, 2016, at 8:15 a.m.

All of NCC’s press releases are available at www.ncc.se/press.

NCC is one of the leading construction and property development companies in the
Nordic region. In 2015, NCC (excluding Bonava) reported sales of SEK 53 billion
and had 16,000 employees.

Attachments

06309772.pdf