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Annual Report 2005

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Annual Report 2005 Annual Report 2005 Responsible and accountable 1 - 2 - – also for the future Vision and values «The Moelven Group shall be the market leader for wood-based building products and accompanying services in Norway, Sweden and Denmark.» Four core values: Moelven’s company culture is grounded on four core values that guide all business activity: • Results • Responsibility • Respect • Honesty & Openness The Group’s flat organisational structure provides an ideal work environment that facilitates open lines of communication and respect between employees on all levels and encourages colleagues to take responsibility for both their own perfor- mance and that of the Group’s business units. Content The Group Financial Calendar Comments from the President and CEO ............................................................................................. 2 This is Moelven ......................................................................................................................................................................... 4 20 April 2006 Group Executive Board ................................................................................................................................................. 8 Annual General Meeting – Annual Accounts 2005 Organisational Cart ........................................................................................................................................................ 10 Location ........................................................................................................................................................................................... 11 27 April 2006 Annual Report ....................................................................................................................................................................... 12 Accounts for first quarter 2006 Main Figures for Five Years ................................................................................................................................ 23 Important Historical Events ................................................................................................................................ 24 27 July 2006 Timber Supplies .................................................................................................................................................................... 26 Accounts for second quarter 2006 Divisions 25 October 2006 Timber ................................................................................................................................................................................................ 28 Accounts for third quarter 2006 Wood ................................................................................................................................................................................................... 34 Building Systems ................................................................................................................................................................. 40 February 2007 Accounts for fourth quarter 2006/Preliminary profit and Responsibility loss statement 2006 Responsibility .......................................................................................................................................................................... 48 Social .................................................................................................................................................................................................... 50 April 2007 Human resources management ................................................................................................................... 52 Annual General Meeting – Annual accounts 2006 Environmental Accountability ........................................................................................................................ 56 Finance................................................................................................................................................................................................ 60 Annual financial statement Accounts and notes ........................................................................................................................................................ 62 Addresses ...................................................................................................................................................................................... 90 The Group Important Events in 2005 Mr. Ole V. Salvén new President and Group’s management structure and the Moelven Valåsen AB builds new sorting CEO after Bo B. Borgström Group’s shared service functions. The business plant for SEK 55 million kroner In February, Central European regional direc- units in the new Building Systems division Moelven Valåsen AB in Karlskoga will be tor Mr. Ole V. Salvén (51) was appointed new (laminated timber, building modules, system upgrading its sorting plant for SEK 55 million. CEO and President of Moelven Industrier ASA interiors) will supply complete solutions to The investment will improve Moelven’s larg- after Mr. Bo B. Borgström (62), who retired project customers in Scandinavia. The two est sawmill into a modern, flexible and high- on 1 February 2005. Mr. Salvén has been other divisions are Timber and Wood. speed plant that can more easily adapt pro- employed by Finnforest since 1994, before ducts to the customers’ increasingly higher that he had experience from among others 400 BoKlok apartments from Moelven demands. Behind this relatively large invest- Bank of America. to Skanska Bolig ment for Moelven has been a strategic deci- Skanska Bolig AS and the module manufac- sion by the Group’s Board to upgrade Moelven Moelven MassivTre AS at Krøderen turer Moelven ByggModul AS in Moelv Valåsen AB to a future-oriented sawmill. opens signed a collaboration agreement in which Norwegian Minister of Agriculture Mr Lars Moelven will build approximately 400 BoKlok Södra Timber strengthens collaboration Sponheim opened Moelven MassivTre AS in apartments in Norway through to the year with Moelven ByggModul AB February, attended by an enthusiastic audi- 2007. The BoKlok concept is owned 50/50 by In its efforts to streamline the plant’s product ence of employees, owners, building industry Skanska AB and IKEA AB. The apartments are range, the sawmill company Södra Timber personell, customers and suppliers. sold at IKEA. transferred its license for the floor beam pro- duct Semi to Moelven ByggModul AB in 2005, New sawmill for Moelven Wood Three extra weeks holiday for employ- so that Moelven will take over production In March, Moelven Timber’s plants with both ees aged 62 years + and sale of the product. Södra Timber views saw- and planing mill were transferred to Moelven ByggModul AS is offering employ- the collaboration with Moelven as an excel- Moelven Wood. The reason was the Group’s ees who have turned 62 years three extra lent development opportunity. goal of tailoring and specialising production weeks holiday if they continue working in to markets and customers common to the company rather than retiring with the New President and CEO of Moelven Moelven Wood and Moelven Timber. company’s pre-pension agreement. – The Group reason for the offer is that we want to retain In December, Mr. Hans Rindal was appointed Moelven Danmark and Moelven Timber our skilled professionals as long as possible, President and CEO of Moelven Industrier join forces in Denmark says director Hans Erik Stadshaug. ASA, taking effect on 1. January 2006. Moelven Danmark and Moelven Timber have He succeeds Mr. Ole V. Salvén, who in the become one operative unit for the Danish Expandia signs 50 million kroner autumn 2005 became President and CEO of market. All Moelven activities in Denmark contract with Moelven ByggModul AB Finnforest. Since 1995, Mr. Hans Rindal has now operate under the same name and The rental company Expandia been employed at Moelven and served in management, Moelven Danmark. Moduluthyrning AB from Klippan in Skåne various positions within the Group, most signed an agreement with Moelven recently as Deputy CEO. Moelven simplifies organisation making ByggModul AB about the delivery of modules three divisions to schools and nursery schools, Moelven In order to improve collaboration internally ByggModul AB will be delivering modules to and to be able to operate more united in the Expandia worth approximately SEK 50 million market, Moelven changed its organisation in 2006. from five to three divisions. This simplifies the From opening of Moelven MassivTre AS. BoKlok apartments at Fagerstrand, Oslo Mr. Jan Dårstad – at Moelven ByggModul AS. Moelven Annual Report 2005 1 The Group Comments from the President and CEO «Most of the factors impacting the company’s results have been favourable.» play an ever increasing role in the cost structure of our products. This will be the case both in terms of procuring logs as well as delivering our upgraded products to the customer. Excess production capacity will be the norm and the competition for the customers’ business will con- tinue as relentlessly as before. The polarization of the production pro- cess will also continue, as some producers will further develop into smaller niche product providers and some players will work to supply «This year we reflected very much on the products nationwide. customers’ needs in relation to our present We are by definition a large product provider. The key to our suc- cess will
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