ANNUAL REPORT 2004 1 02 the Group 22 Divisions 72 Annual Financial Statement
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Annual Report 2004 Innovation a constant opportunity Vision «Moelven shall be the market leader for wood-based building products and accompanying services in Norway, Sweden and Denmark.» Content The Group Group Business Activity ............................................................................................................................................. 2 Annual Report ........................................................................................................................................................................ 8 The Moelven Group .................................................................................................................................................... 12 Key figures ............................................................................................................................................................................ 21 Financial Calendar Divisions 26 April 2005 Timber .......................................................................................................................................................................................... 22 Annual General Meeting – Annual Accounts 2004 Wood ............................................................................................................................................................................................. 28 Laminated Timber ......................................................................................................................................................... 34 28 April 2005 Modular Buildings ......................................................................................................................................................... 40 Accounts for first quarter 2005 Modular System Interiors .................................................................................................................................... 46 29 July 2005 Personnel .................................................................................................................................................................................. 52 Accounts for second quarter 2005 Environment ......................................................................................................................................................................... 58 28 October 2005 Solid Wood Elements ................................................................................................................................................ 66 Accounts for third quarter 2005 Finnforest ................................................................................................................................................................................. 68 Important Historical Events ............................................................................................................................ 70 February 2006 Accounts for fourth quarter/Preliminary profit and loss Annual financial statement statement 2005 Accounts and notes .................................................................................................................................................. 72 April 2006 Addresses ............................................................................................................................................................................. 100 Annual General Meeting – Annual Accounts 2005 Major Events in 2004 Ole Salvén (51) is appointed as new CEO, New saw mill production line at Moelven The Are Group is part of Moelven Industrier taking over from Bo B. Borgström. Telemarksbruket opens in Bø. ASA as of 1 January 2004. • Moelven Industrier ASA acquires the Are Group 14.2 per cent. The sale means that two new • A new production line costing NOK 44 million as of 1 January 2004. The sawmill and planing Norwegian forest owners’ associations gain is opened at Moelven Telemarksbruket AS in group, Are, consists of production plants in ownership interests in Moelven Industrier ASA Bø. Moelven Telemarksbruket is owned jointly Sweden and Norway with a total annual turn- – 4.8 per cent for Agder-Telemark Skogeier- by the Moelven Group and AT-Skog (Agder- over of approx. NOK 800 million and approx. forening (AT-Skog and daughter companies) Telemark Skogeierforening), with Moelven 300 employees. The acquisition agreement and 3.0 per cent for Haldenvassdragets controlling 51 per cent of the shares and includes the following timber processing com- Skogeierforening (Havass). Glommen Skogeier- AT-Skog 49 per cent. panies: AB Edanesågen in Edane, Årjängs Såg forening raises its stake in Moelven AB in Årjäng, Nössemarks Trä AB in Nössemark, Industrier ASA to 17.8 per cent, and Mjøsen • Moelven Limtre AS signs a contract for the Tom Heurlin AB in Ånimskog, Are Brug AS in Skogeierforening to 9.4 per cent. delivery of laminated timber elements for seve- Spydeberg and Are Skogsprodukter AB in Ed. ral major bridge projects. One of the bridges • Moelven ByggModul AS supplies modules to – part of the E-6 highway in Steinkjer – will • The Moelven Group acquires Mobilarum AB a major housing project consisting of five be the wooden bridge with the highest traffic in Värmland. Mobilarum produces temporary apartment blocks at Nylandshagen in Ålesund. volume in the world. and permanent buildings for the professional building market in Scandinavia. The company • CEO and Group Managing Director • Moelven Wood is chosen ”Supplier of the Year” has two production units: Kils Volumbyggen Bo B. Borgström launches a so called ”incuba- by Norway’s largest builders' merchants in Kil and Nordmodul in Torsby. With a total tor factory,” intended to be housed in vacant chain, Byggmakker, at their annual dealer of approx. 150 employees, Mobilarum AB offices at Moelven’s locations in Moelv. forum in the Viking Ship in Hamar. This is the reported NOK 153 million in annual turnover first time a supplier of timber and processed for the accounting year 2002/2003. • Norway’s largest producer of mouldings, wood products receives this distinction. Moelven Eidsvoll AS, signs a contract regard- • Moelven ByggModul Säffle AB signs contracts ing the purchase of a fully automatic surface • In December Central European Regional to supply 432 apartment modules for a new treatment facility for painting and treating Director for Finnforest, Ole Salvén (51), is student campus at Umeå. The total value of mouldings. The new facility offers major cost appointed to be the new Group Managing the contract is SEK 81 million. reductions. Director of Moelven Industrier ASA. He follows Mr. Bo B. Borgström (62), who will retire on • Finnforest Oyj, its parent company Metsäliitto • Moelven ByggModul AS in Moelv signs a 2 February 2005. Mr. Salvén has been with Osuuskunta and Moelven Industrier ASA sell a NOK 75 million contract for the production Finnforest since 1994, and has also been block of Moelven shares to four Norwegian and delivery of modules for a major constructi- employed by Bank of America. Bo B. Borgström forest owners’ associations. After the sale, on site camp at Aukra outside of Molde in has been CEO and Group Managing Director Finnforest Abp owns 51.0 per cent of the connection with the development of the oil in Moelven Industrier ASA since 12 July 2002. Moelven Group and Metsälitto Osuuskunta facilities at Ormen Lange. MOELVEN ANNUAL REPORT 2004 1 02 The Group 22 Divisions 72 Annual financial statement The Moelven Group Chain of Value-adding Activities Modular Forest Timber Wood Laminated Timber Modular Buildings System Interiors Group Business Activity Moelven Timber Group Moelven Industrier ASA is owned by Finnish and Norwegian forestry Production in the three divisions in this business area consists of the owners organisations, with the Finnish Metsäliitto Andelslag and manufacturing of wood-based building goods, with a focus on the Finnforest Abp as the majority shareholders, and the Norwegian segments ”Build with wood” and ”Live with wood”. The Moelven Glommen Fond AS, Mjøsen Skogeierforening, Agder-Telemark Timber Group also supplies processed wood products as “raw materi- Skogeierforening (AT-Skog) and Haldenvassdragets Skogeierforening al” for other manufacturers of wooden building products, and to the (Havass) as the largest minority shareholders. The main shareholders furniture, packaging and paper industries. The main products are tim- have agreed that Moelven Industrier ASA shall remain an independent ber and laminated timber for load-bearing constructions, interior pro- subsidiary within the Finnforest Group. ducts such as floors, panelling and moulding, as well as fire and rot- Moelven’s vision is to become market leader for wood-based build- proof timber and components. These products are sold in the mega- ing materials and associated services in Norway, Sweden and Denmark. segments industry and distribution (building merchants). The group is organised into two main business areas: the Moelven Timber Group and the Moelven Building Group. Production takes place Moelven Building Group in Norway and Sweden. The Group is oriented toward the professional As an alternative to traditional building processes, the divisions building market and not directly to the consumer market. Modular Buildings and Modular System Interiors supply industrialised Moelven defines the Scandinavian building products market as con- building concept based on modules. The main products are buildings sisting of three megasegments: industry, distribution and building for use