2009 Annual Report State-owned Companies 2009 B Contents 1 Financial overview 63 Jernhusen AB 89 Teliasonera Aktiebolag 3 Foreword 64 Kungliga Dramatiska Teatern 90 Teracom AB 4 Events in brief Aktiebolag 91 V.S. Visit Sweden AB 8 The state ownership policy 65 Kungliga Operan Aktiebolag 92 Vasallen AB 20 The state as responsible and active 66 Lernia AB 93 Vattenfall Aktiebolag shareholder 67 Luossavaara-Kiirunavaara 94 Vectura Consulting AB 24 Sustainable development Aktiebolag (LKAB) 95 Voksenåsen A/S 38 Renumeration and other employment 68 Miljömärkning Sverige Aktiebolag terms for senior executives: follow-up 69 Nordea Bank AB 96 Companies being wound up and 39 Follow-up and assessment 70 Norrland Center AB dormant companies, in 2009 42 The state corporate sphere 71 Posten Norden AB 97 Newly formed companies, 45 State’s ownership in listed companies 72 Rise Research Institutes of in 2009/10 Sweden Holding AB 98 Companies sold or restructured, 46 Company survey 73 Samhall Aktiebolag in 2009 47 A/O Dom Shvetsii 74 SAS AB 101 Important events and history 48 AB Göta Kanalbolag 75 SJ AB 104 Accounting principles 49 AB Svenska Spel 76 Sos Alarm Sverige AB 106 Definitions and abbreviations 50 Akademiska Hus Aktiebolag 77 Specialfastigheter Sverige Aktiebolag 106 Company overview 51 Aktiebolaget Bostadsgaranti 78 Statens Bostadsomvandling AB, Sbo 108 State-owned corporations in figures 52 Aktiebolaget Svensk Bilprovning 79 Sveaskog AB 110 List of Government bills 53 Aktiebolaget Svensk Exportkredit 80 Svenska Rymdaktiebolaget 112 Changes in executive managements 54 Aktiebolaget Svenska 81 Svenska Skeppshypotekskassan and boards Miljöstyrningsrådet 82 Svensk-Danska Broförbindelsen 114 Division of responsibility within the 55 Almi Företagspartner AB SVEDAB Aktiebolag Government Offices for state-owned 56 Apoteket Aktiebolag (publ) 83 Sveriges Bostadsfinansierings- companies 57 Arbetslivsresurs AR AB (publ) aktie bolag, SBAB (publ) 116 Board members elected by the 58 Arlandabanan Infrastructure 84 Svevia AB (publ) Annual General Meeting Aktiebolag 85 Swedesurvey Aktiebolag 123 Company reporting dates 59 Botniabanan AB (publ) 86 Swedfund International AB 124 Guidelines for external reporting 60 Fouriertransform Aktiebolag 87 Swedish National Road Consulting 127 Guidelines for employment terms 61 Green Cargo AB Aktiebolag (Sweroad) of senior executives 62 Innovationsbron AB 88 Systembolaget Aktiebolag 129 Addresses This is an unofficial translation. In the event of any discrepancy between this English version and the Swedish original, the latter will take precedence. This Annual Report was produced by the Swedish Ministry of Enterprise, Energy and Communications, in cooperation with Edita Communication. Photo: page 3 Linus Hallgren, page 21 Lars Pehrson, page 24 Sandra Baqirjazid. All other images are from the companies included in the Annual Report. Printing: Edita, Västra Aros, 2010. MINISTRY OF ENTERPRISE, ENERGY AND COMMUNICATIONS 2009 1 Financial overview STATE-OWNED COMPanies: Financial facts SEK, bn 2008 2009 Change, % Net turnover 312.5 352.8 7 Profit before changes in value 63.8 53.3 -16 Changes in value -3.3 1.2 - Operating profit 60.5 54.5 -10 Profit before tax 51.8 42.4 -18 Net profit 43.4 34.7 -20 Total equity 328.3 341.8 41 Total assets 1 386.5 1 598.8 15 Cash flow from operating activities1) 59.5 62.9 6 Gross investments 61.9 120.8 95 Average number of employees, thousands 89.3 94.6 -6 Average number of employees, including associated companies, thousands 192.3 190.3 -1 Return on equity, % 14.4 10.5 -3.9 percentage points Equity/assets ratio, % 20.1 18.1 -2.0 percentage points Dividend 21.8 20.8 -5 Estimated value 500 620 24 1) Excluding finance-sector companies (SEK and SBAB). RetUrn on EQUitY DIVidend CHange in Portfolio ValUE % SEK bn SEK bn 20 40 800 15 30 600 10 20 400 5 10 200 0 0 0 2007 2008 2009 2007 2008 2009 2007 2008 2009 MINISTRY OF ENTERPRISE, ENERGY AND COMMUNICATIONS 2009 2 The state is un important company owner in Sweden. The state portfolio of com- panies includes 57 wholly- and partly-owned companies, three of which are pub- licly listed. The state has a major responsibility to be an active and professional shareholder. The Government’s overall objective is for the companies to generate value and, where applicable, ensure that specially commissioned public assign- ments are carried out. MINISTRY OF ENTERPRISE, ENERGY AND COMMUNICATIONS 2009 FOREWORD 3 2009: A year of many challenges With its 57 state-owned companies, the state is Sweden’s largest company owner. The companies represent considerable value – approximately SEK 620 bn – and employ many throughout Sweden. The companies are owned collectively by the Swedish people, and operating them is an enormous and very important responsibility. ValUE creation as OVerall obJectiVE GRI-based SUstainabilitY rePorting Faith in the future is important. For the company owner, this In November 2007, the Government decided that all state-owned entails giving companies the prerequisites and abilities they companies had to present a sustainability report in accordance need to develop, to continue competing in their markets, and to with Global Reporting Initiative (GRI) international guidelines. help preserve existing and create new jobs. Sweden was the first country in the world to take this step. We are now seeing other countries following our example and instituting Sales and new, more clearlY defined assignments similar requirements. In December, when FAR SRS handed out State ownership of all of these companies is by no means a given. prizes for the best sustainability reporting, LKAB won in the However, as long as the state is the owner, it must remain active, Large Corporations category and Swedfund in the SME category. behave professionally and ensure that its ownership role is well We are extremely pleased about these achievements and know defined. For the state, this implies reviewing its portfolio of that they represent a great deal of hard work. companies to test the arguments for continuing state ownership, All Swedish state-owned companies produce a GRI-based and reviewing the companies’ various objectives and public sustainability report. For 2009, 45 of the 48 state-owned compa- assignments. During the mandate period, this has resulted in nies (i.e., 94 per cent) presented a GRI-based sustainability report. the sale of the companies Vin & Sprit and Vasakronan, the sale Of the 100 largest companies on the stock exchange, 30 per cent of the state’s stake in OMX, reduced ownership of TeliaSonera produce a GRI-based sustainability report. At our request, and a merger of the Swedish Posten and Post Denmark, as well as Uppsala University has studied the actual effects of this reporting renewed and more clearly defined assignments for various com- on sustainability efforts. We find that the reporting requirement panies, among them Vattenfall and Sveaskog. The Government has led to greater involvement in and awareness of the issues, to a has also implemented an extensive programme to restructure more structured approach and more structured processes, and to Apoteket, resulting in the sale of pharmacies. At the beginning sustainability being placed on the agenda, becoming more priori- of the year, the first new private pharmacies since 1971 opened tised by both boards of directors and company managements. their doors. This means Apoteket has now gone from being a corporate monopoly to a small company acting on public com- Good EXemPles for gender EQUalitY missions. Simultaneously, the pharmacy market has seen an We are pleased to note that efforts to increase the percentage of increasing number of players and competition. women on the boards of state-owned companies have paid off. The percentage of boards chaired by women has risen from New comPanies laUncHed 22 per cent in 2006 to 34 per cent, compared with 2 per cent in Another aspect of reviewing state ownership of companies is listed companies. At the same time, almost half – 49 per cent – reviewing other state business operations in the form of public of board members of wholly owned state-owned companies are agencies. This could lead simultaneously to the formation of women, compared with 21 per cent in listed companies. This new state-owned companies and to better competition in cer- demonstrates that there are many qualified women who are tain markets. During the mandate period, the number of com- prepared to take on board responsi bility. State-owned companies panies in the state’s portfolio has grown. In 2010, Infranord AB are real models here. was formed from operations formerly part of Banverket It goes without saying, however, that much remains to be done. Produktion, and Swedavia AB from airport operations for- For example, the percentage of women chairmen is far too low, as merly part of the Swedish Aviation Agency (Luftfartsverket). is the percentage of executive positions occupied by women, In 2009, Vectura Consulting AB and Svevia AB were formed although it is, happily, on the rise, from 31 per cent last year to from operations formerly belonging to the Swedish Road 35 per cent this year. Step by step, gender equality is improving in Administration (Vägverket) and the Swedish Rail Administra- state-owned companies. The long-term approach gets results. tion (Banverket). In addition, Fouriertransform AB was formed at the end of 2008 to invest in research and development opera- Stockholm, June 2010 tions in the vehicle cluster. Maud Olofsson Minister for Enterprise and Energy MINISTRY