Acquisition of Bauwens completed

Bong’s acquisition of the Wolf-Bauwens/Reinhart Schmidt Group was completed as planned on March 1^st, when the parties signed the final documents in Zug, Switzerland.

Bauwens is consequently a member of the Bong Group and will, as previously announced, be consolidated with effect from January 1^st 2000. The integration process is beginning immediately.

Following the acquisition the Group will be the leading envelope manufacturer in Europe, with an annual turnover of some SKr 2.5 billion, and some 1,800 employees.

The new Group’s strong position of leadership on the North European market will create valuable opportunities for further expansion and active involvement in the process of structural change that has begun, and is expected to continue within the European envelope industry.

In connection with the acquisition of Bauwens, Bong obtained an option to acquire 39 % of EEC, a Belgian envelope manufacturer. Discussions are in progress with other shareholders in EEC, who claimed, following the announcement of the acquisition, to have pre-emptive rights to these shares in EEC. This claim is now being investigated.

Kristianstad, March 2^nd 2000

Bong Ljungdahl AB
Lennart Pihl

For further information, please contact Lennart Pihl, Managing Director and Group Chief Executive, Bong Ljungdahl. Tel: +46 44 20 70 50; mobile: +46 70 594 68 66

Please visit http://www.bit.se for further information

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