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Bakkavör Group

Bakkavör Group
Business Idea
Bakkavör is an integrated food
production company, specialising in
chilled prepared convenience food.
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Mission
Bakkavör’s mission is to become an
international leader in the production, sale
and distribution of fresh and chilled food
products under its own brand names or
under the retail chains’ own labels.
Bakkvör intends to grow substantially
through organic growth and strategic
acquisitions. The cornerstone of operations
is customer relations with the major
European supermarket chains. These relations
are maintained through close co-operation on
distribution, new product development and
support for their own label strategies.

General Strategy
The Group
Our focus is on the chilled prepared
food market, one of the fastest growing
sectors of the food industry in Europe.
We aim to create an influential group
of independent companies in different
regional markets, maximising synergy
effects in key areas and thereby creating
competitive advantages.
We will provide quality service to
customers in all their regional markets
by offering a broad but specialised
product range, constant new product
development, guaranteed quality and
efficient distribution at competitive
prices.
Bakkavör Group was founded in 1986
in Iceland by two brothers, Ágúst and
L‡dur Gudmundsson. Today, the Group
comprises a parent company and eight
subsidiaries in Europe, together with
an associated company in Chile.
The core of the Group’s operation is its
production and sales enterprises which
are located in four European countries,
the United Kingdom, Iceland, France
and Sweden. Bakkavör also owns
a 42% stake in a company in Chile
operating a production plant and a
fishing fleet. In addition the Group has
sales offices in Germany, Finland and
Denmark. Each of these subsidiaries is
operated as an independent company.
The principal customers of the Group
are the major retail chains of Europe.
The Group’s business relations are
based on the combination of service,
quality, innovation and value that we
offer.
Bakkavör makes hundreds of different
products. Most of them are freshly
prepared every day, and will typically
be eaten within days of leaving us.
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Our Products
We define all our products as chilled
prepared convenience foods. We divide our
range of products into five categories: ready
meals, meal accompaniments, ethnic snacks,
dips, dressings and spreads, and other chilled
prepared foods. We produce under the retail
chains’ own labels but we also build on our
own brands where applicable.
Chilled Ready Meals
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A complete meal which can be heated up
and does not require an accompaniment, e.g.
Moussaka, chicken and chips, and Filo pastry
meals. Many of the ready meals derive from
ethnic and foreign cuisines, such as Chinese,
Tex-Mex, Indian dishes and traditional UK and
Mediterranean foods.
Chilled Meal Accompaniments
This comprises foods that are combined with meal
centres to create a full meal e.g. side dishes of
rice, baked potatoes, mashed potatoes and other
vegetable accompaniments, such as cauliflower
cheese.
Chilled Ethnic Snacks
This includes chilled snacks, small meals between
complete meals and accompaniments to other
foods, such as bhajis, samosas, pakoras and
Chinese snacks/accompaniments such as spring
rolls, dim sum, prawn on toast, etc.
Chilled Dips,Dressings
and Spreads
This category includes Mediterranean dips like
houmous, tzatziki, taramosalata, France tarama,
Scandinavian cod roe spreads in tubes and
variety of salad dressings.
Other Chilled
Prepared Foods
This consists mostly of chilled seafood such
as caviar varieties, marinated herring, smoked
salmon and shellfish, anchovies and the
Swedish national cuisine “Lutfisk”. These
products do not require cooking or heating
before eating, with the exception of “Lutfisk”.

Board Agenda
The Board of Directors of the Bakkavör
Group has defined five areas which
are closely monitored. These areas give
an indication of the direction and the
priorities of the Group. They are:
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Growth
The Group has been characterised by
substantial growth in recent years, and
this trend will continue. It is important to
maintain productivity levels, secure access
to raw materials and adequate production
capacity.
Customers
The Group has few but important customers.
Our products are manufactured under the
names of these customers and we work
closely with them. It is therefore extremely
important to maintain our services to them
at the highest possible level of quality.
New Product Development
We attach great importance to new product development,
which enables us to offer a wide range of products and
a steady flow of new products for consumers who are
constantly demanding improved quality, variety and
convenience.
Safety
Every day, vast numbers of people consume our products.
The safety of our products for consumers is therefore of
critical importance.
Shareholder Value
The principal goal of Bakkavör is to ensure good returns
to shareholders. The key to attaining this goal is a clear
vision and talented management.

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An Excellent Year of High Organic Growth
Chairman’s & Managing Director’s Address

2002 proved to be an excellent year for Bakkavör Group.
We made a record profit from activities in seven countries
and our share price increased by more than 60%, reflecting
the Group’s strong operations. The year was characterised
by internal growth, the building of a new factory in London
and further consolidation within the Group.
This Year’s Results
Bakkavör returned a pre-tax profit for 2002 of £15.4 million,
an increase of 332% between years. The Group’s EBITDA
was £22.8 million. Return on equity was 21% and the total
turnover of the Group amounted to £133.7 million which is an
increase of 226% from last year.
We achieved an internal growth rate of 21% in 2002. For
the first time in five years Bakkavör was not involved in the
acquisition of any other companies. Nevertheless the Group
achieved its stated targets on growth.
Chilled Prepared Convenience Foods
Our operations are based on producing chilled prepared
convenience foods, which we mostly sell to retailers. We
divide our products into five categories: ready meals, ethnic
snacks, meal accompaniments, dips, dressings and spreads,
and other chilled prepared foods. We have operations in
seven countries, located in three main areas: the UK, the
Nordic Region and Continental Europe.
Our largest facilities are in the UK. Sales of chilled prepared
convenience foods are far more developed in the UK than
in any other European country. We operate in the fastest
growing sector of the UK food market and this growth is set
to continue. In 2002 our organic growth in sales in the UK
was 21%, which was in line with our plans. The growth in
this section of the UK food market in 2002 is estimated to
be 15%.
There are a number of interrelated factors contributing to
the rapid growth in sales of chilled prepared convenience
foods in the UK and Europe. These include: increased buying
power, consumer demands for increasingly fresh and more
varied products, less interest in cooking, the need to save
time and changing family lifestyles where there are fewer
people in each home. These factors are unlikely to change
over the coming years and it confirms that there is still
enormous growth potential for us on this market.
In the Nordic Region we have production facilities in
Sweden and Iceland and sales offices in Finland and
Denmark. Our activities in the Nordic Region showed
an internal growth rate of 23%. This was in line with
our plans and confirms that we have been increasing
our market share significantly.
Our operations in Continental Europe consist of
production facilities in France and a sales office in
Germany. We also have an associated company in
Chile that operates a production plant and a fishing
fleet. It co-operates closely with Bakkavör France.
Bakkavör Group operated sales and distribution
activities in Poland for almost three years. However,
the operations of our subsidiary, Bakkavör Polska,
have now been ceased. This decision was a result
of the extremely difficult situation in the Polish food
market and the fact that the nature of operations
was no longer compatible with the Group’s strategy.
We have now written off our assets in Poland but
still gained the experience of operating on the Polish
market, which will undoubtedly prove beneficial to
the Group in the future.
In contrast with our operations in Poland, we had
a satisfactory year in France, where sales increased
by over 19%. Our factory in France was expanded in
size by one third and there are plans to double its
size within the next two years.
Our Customers
Bakkavör primarily manufactures under the brand
names of retail chains, as is the case with most
other companies in our line of work. As a result,
we concentrate on a small number of major
customers. Our products carry the names of these
9

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customers and our work involves close
co-operation with them. It is extremely
important to us that relations with our
customers and all services are of the
highest achievable quality.
As a result of consolidation on the
market there are fewer retail chains
than ever before but the remaining
market players have increased in size.
Although this trend can entail risks
for companies like Bakkavör, it can
also create opportunities. We have
already established operations in seven
European countries, where we pursue a
strategy of catering to local tastes and
needs. This places us in an excellent
position to draw on our core expertise:
adaptability to local markets and close
customer relationships with international
retail chains. This helps to establish
stronger footholds and to gain entry into
new and emerging markets.
New Factory
Our main investment this year was the
building of a new 80,000 sq. feet (7,500
sq. metres) factory in London. The factory
commenced operations on 17 October
2002, having taken six months to build,
and was formally opened by the Prime
Minister of Iceland, Davíd Oddsson. We
have invested a total of £13 million in
the new factory. It will increase the
Group’s production capacity by 30%. It
will furthermore relieve the strain on the
Group’s existing factories which had been
operating at more than full capacity for
some time. This represents our largest
investment to date. Operations have
progressed well since the factory
was opened and it is expected to be
running at a profit
in 2003.
Innovation and Product
Development
Great importance is attached to product
development and innovation, which is
mostly conducted in close co-operation
with our main customers. Last year
we developed over 250 new varieties
of products across the Group. It is
extremely important for us to be at
the forefront in product development
in order to provide better service to
our customers. Consumers expect new
products and new varieties on a regular
basis. There are now almost 30 people
working on product development in
the Group, and our strategy is to keep
this aspect of our work localised by
closely monitoring local market tastes
and customer response.
Quality and
Food Safety
Product quality and safety are
of paramount importance in the
operation of a food manufacturing
company like Bakkavör. In order
to guarantee the safety of our
products, we employ stringent
quality systems.
The food industry imposes particularly
strict quality requirements, which
Bakkavör meets in every respect. It is of
the utmost importance for us to be able,
at all times, to offer safe, high-quality
products, made from the best available
raw materials.
Our People
The strong performance of Bakkavör, and
its substantial growth in recent years,
is largely due to the excellence of our
employees and on behalf of the Board
of Directors we would like to thank them
for their important contribution to the
Group’s operations.
Bakkavör currently employs 2,230
people. Since Bakkavör was listed on the
Iceland Stock Exchange in 2000, most of
the key employees and the management
have become shareholders.
Dividends
The Board of Directors of Bakkavör
Group recommends that no dividends be
paid out for the year 2002. This decision
is based on the fact that the Group
has made large investments in the new
factory in London and has made it a
priority to pay down the Group’s loans.
However, this does not change our longterm
goal of paying out dividends to our
shareholders.

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Shareholders
One of our main goals is to maximise shareholders value.
The Group’s stock price was up 60.3% during the year and
was one of the major gainers on the Iceland Stock Exchange
in 2002. Bakkavör is on the main list of the Iceland Stock
Exchange and the ICEX 15 gained approximately 16.7%.
Bakkavör was also among the most traded companies on
the Iceland Stock Exchange in 2002 which is pleasing in light
of the fact that the Group did not trade in its own shares.
Overall, we are very satisfied with the results during 2002 for
our shareholders.
At the end of 2002 the Group had 3963 shareholders. A
total of 48% of the shares in the Group are now held by
directors and key employees, including the 29% held by us,
the founding brothers of Bakkavör. About 27% of the Group’s
stock is held by investors outside Iceland.
Synergy
Bakkavör has expanded rapidly in recent years, creating major
potential for synergy through enlargement of scale. We place
utmost importance on this synergy work, which is sought
through clearly defined joint strategic planning, conducted via
the boards of directors of the different companies. This has
resulted in the Group attaining greater operational synergy
in 2002, mainly in production, purchasing raw materials,
inventory control and packaging.
Prospects
In recent years Bakkavör has undergone rapid
expansion by means of takeovers and organic
growth, without this having a detrimental
effect on the Group’s profitability. Our future
objectives remain as clear as ever. We aim
to grow by 20-30% per year and increase
profitability. We intend to grow both through
organic growth and acquisitions. Our policy is to
consider any potential acquisition opportunity
within the sector. We are currently investigating
the possibilities of a collaboration with our
customers in the production of ready meals
outside the UK. We aim to be at the forefront of
chilled prepared convenience foods on selected
markets in Europe and to take advantage of our
broad experience in this field.
The prospects for Bakkavör are good. Our key
markets will be characterized by continued
growth. Operations have begun well during the
first few weeks of 2003 and the Group is well
prepared for the challenges which lie ahead.
In 2002 Bakkavör opened a new financial office in
Copenhagen, Denmark. It acts as an internal bank and is
responsible for internal audit and treasury. The financial office
has proven most efficient and has helped to reduce
the Group’s financial expenses considerably.
Ágúst Gudmundsson, Chairman &
L‡dur Gudmundsson, Managing Director

Market Report
The purpose of this section is to describe briefly Bakkavör Group’s main
markets, and their structure. The section will also explore the substantial
growth of these markets and look at some of the drivers of growth.
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Bakkavör divides its market into three regional markets the
UK, the Nordic Region (Sweden, Finland, Denmark, Norway
and Iceland), and Continental Europe. The Company generates
over 99% of all its sales in these three regional markets.
Sales outside these three markets are marginal and include
North America and Oceania.
Information about the chilled prepared food markets in which
Bakkavör operates varies between countries and regions. The
UK market, the most important market for Bakkavör, is the
most advanced one in Europe and therefore it is the main
focus of this market report. There is also a short section
regarding the Nordic market.
Description of the UK Market
Bakkavör operates in two distinct sectors of the UK
Chilled prepared foods market. One is the Chilled Ready
meals sector, which also includes ethnic snacks and meal
accompaniments, and the second is the Dips and other cold
eating products. Both areas have seen substantial growth
over the past few years and are continuing to grow at a
faster rate than the majority of the food market.
Chilled Ready Meals
Continuous Growth
The market for chilled ready meals was estimated at £1,121 million
in 2002 - up 108% in relation to 1997. An annual growth rate of
about 15% is expected over the next five years. In contrast to the
frozen meals market, the ready meals sector in the UK is almost
totally dominated by retailers’ own labels. There are very few
brands in the market and their size is negligible. Market growth
over the past six years is illustrated below.
Market Drivers
Ready meals represent the ultimate convenience food, requiring
no preparation, and delivering a full meal once heated. The trend
towards purchasing more easily prepared meal solutions has
been a major driver in this market. Growing levels of consumer
disposable income have enabled shoppers to pay for reduced
cooking and preparation times at home. Spending levels have
also been boosted by better segmentation of the market. Cookery
and travel media encourage consumers to be more sophisticated
in their food knowledge and choices. A wider range of cuisines is
now on offer, not only on the basis of country, but also by region.
Market Market Segmentation by by Origin Origin
Traditional British 22%
Others 9%
Indian 25%
Tex - Mex 4%
Italian 23% Chinese / Oriental 17%
Sales of ready meals have also been encouraged by demographic
changes in the UK population. The growth in single- and twoperson
households, as well as staggered mealtimes in larger
households, has boosted solo- and dual-eating occasions for
which ready meals are well suited. However, the family market is
also being developed with larger serving portions. Ready meals
are challenging not only cooking from scratch but also takeaway
and restaurant sales, through the introduction of more ‘mix
and match’ meal components and premium-quality food. Three
quarters of British housewives use ready meals, up from 58%
in 1997 and 20% serve ready meals more than once a week.
Current trends favour further growth in the ready meals
market. The erosion of cooking skills among the population,
as well as the establishment of “time poor, money rich”
consumers will continue to drive sales.

Growth Categories Categories
Over 8% per year
Over 4%
Under 4%
Ready meals
Meal accompaniments
Ethnic snacks
Dips and dressings
Cheese snacks
Sauces
Soup
Pasta
Sandwiches (in retailers)
Non-dairy desserts
Quiches
Dressed salads
Dairy salads
Pre- packed pizzas
Pies, pasties
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Chilled Ready Meals
Retail Chilled Ready Sales Meals (£M) Retail Sales (£M)
1200
1000
800
600
400
200
0
1998 1999 2000 2001 2002
Chilled Ready Meals Market
Chilled Ready Meal Market
Growth Growth Forecast Forecast(£M)
1800
1600
1400
1200
1000
800
600
400
200
0
2002
2003
2004
2005
2006

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Market Segmentation
Ethnic meals (Indian/ Chinese/ Oriental), led
by Indian, have shown strong growth, with
consumers demanding more variety and more
authentic dishes. Ethnic meals reached a value
of £394 million in 2001, equivalent to 41%
of the total market. Indian meals accounted
for 25% of total sales, which is more than
traditional British meals. Other key areas in the
market are Italian, American/Mexican, Modern
European and Vegetable Accompaniments.
The Future
Consumer demand for convenience, speed
and ease of preparation is the major driver
behind the ready meals market. The number
of working women with less time to cook
from scratch is expected to rise and so is the
number of single households. Penetration
levels are also very high in larger households.
This relentless trend virtually guarantees the
continued popularity of ready meals.
British food retailers perceive chilled
convenience foods as a major route by which
they can achieve growth. They are making
more chilled space available for their ranges
and they are devoting more resources and
investment in driving the market.
Dips) accounting for £67 million and Greek/
Mediterranean dips for £45 million.
Dips are popular for informal eating occasions,
parties, snacking as well as forming part of
main meals as side of plate accompaniments.
Sales are particularly buoyant during the
summer barbeque season as well as at
Christmas.
Bakkavör Group is the market leader in Greek/
Mediterranean dips. The company supplies six
major UK multiples with own-label dips in single
units and selection packs. The core business in
this sector consists of Houmous, Taramosalata
and Tzatziki. Other products in the range are
Feta cheese dip, Aubergine dip and other
vegetable based products.
The market has moved forward and new
opportunities were created with the launch of
reduced fat products and organic versions.
Houmous with added ingredients like roasted
peppers, olives, chilli and lemon zest has
proved to be a way forward in enlarging the
offer and maintaining interest in the range.
Taramosalata with added smoked salmon and
higher fish content was received well and
gained a loyal following.
Mintel forecasts the market for chilled ready
meals to be worth £1.7 billion by 2006. This
forecast is illustrated below.
Even though dips are by definition nonessential
foods, the market in 2002 has
grown by 57% in relation to 1996.
Chilled Dips
Chilled dips dominate the dips market
accounting for 87% of total dip sales. The
UK market for chilled ready to eat dips is
estimated at £112 million. These are divided
into two segments. Dairy based dips (Savoury
Market Drivers
Due to their nature of not being essential
food but additional extras, dips tend
to be consumed mostly by the more
affluent sectors of the population. They,
together with other appetisers are a

popular choice for entertaining at home. This is
reflected over the Christmas period, which generates
a disproportionate amount of sales. During the
summer months sales peak again, in line with
increased home entertaining (Summer barbeques).
Dips are also suitable for snacking as they are ready
to eat straight out of the fridge. Snacking is on the
up in the UK. Consumer research has found that a
third of adults have at least two snacks a day, and
a further third have one snack a day. Dips are good
accompaniments to readily available snack foods like
crisps, tortilla chips and breadsticks.
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Dips can also play a part in a sit down main meal.
Snack-style meals like Greek Meze, Spanish Tapas
and Italian Antipasti have grown popular in recent
years in the UK. This is the result of the millions of
people having their holidays in such countries and
becoming exposed to such meals. Dips accompanied
with olives and antipasti, render themselves
perfectly for such light meal occasions.
The Future
The rate of growth of the chilled dips market is
expected to continue with sales reaching £170
million by 2005. This is attributed mainly to the fact
that dips are an ideal companion to current informal
eating habits.
Dips Sales Growth (£M)
Dips Sales Growth (£M)
120
100
80
60
40
20
0
1996 1998 2000 2002

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Retail Market
Retailers have been dominant players in
many segments of the chilled prepared food
market in the UK, and are almost exclusive
players in the case of Bakkavör’s products.
The industry structure and trends are
therefore of great importance to the Group.
Both the UK and European retail markets
are characterised by a decreasing number
of larger chains, a trend which is likely to
continue. At the same time the retail chains
are becoming increasingly international.
Concentration in the industry is justified by
the need to develop economies of scale in
purchasing and other operations, a decisive
factor in future competitiveness.
The main explanation for this consolidation
of food retail chains is that further growth is
limited in their local markets. This is possibly
a result of fierce competition and/or because
planning regulations prevent retail chains
from increasing their number of outlets,
a common occurrence in Western Europe.
European Retail Concentration
European Retail Concentration
40%
35%
30%
25%
20%
15%
10%
5%
0%
25.4%
15.8% 40.0%
1991 1994 1998
2002
Five largest European retail chains: market
share 1991-2002, with projection for 2005
2005
Size is becoming increasingly important
in purchasing, and in order to expand,
retailer chains have to look across borders.
Consolidation in the industry also calls for a
change in the way purchasing is organised,
and most market participants have set up
purchasing entities, either in co-operation
with other retail chains or on their own. This
has led to new supplier business models
and strategies such as local taste, service
and market requirement. In order to remain
competitive, the suppliers must offer new
products, competitive prices, reliable service
and consistent quality.
Description of the Nordic
Market
Bakkavör’s products in the Nordic Region fall
mostly under the category of “other chilled
prepared foods.” This chiefly consists of
chilled seafood products, such as cod roe
spreads, lumpfish caviar, marinated herring
in different varieties and “Lutfisk”.
The Nordic retail industry is extremely
concentrated. It is dominated by three large
retail companies on each domestic market.
The retailers on each home market are often
connected to other retailers in other Nordic
countries. As a result of these connections
the Nordic market roughly consists of three
large players. The players are represented
on the market through ownership or cooperation.
These three players control
approximately 90% of the pure daily retail
business (all retail business except petrol
stations and similar shops in the Nordic
Region). The charts below show the current
situation on the Nordic market, including the
estimated market value.

Sweden
The situation will probably change in the
future, but it is likely that the existing three
large players will have the most important
influence on the Nordic market, although
we can expect new retailers to enter the
market. One new retailer, which has started
up operations in Finland and Sweden, is the
German discount chain Lidl and operations
within the discount area will probable
increase in the future.
Sweden is Bakkavör’s largest market in the
Nordic Region. The compounded annual
growth is estimated at approximately 5%
since 1995 and this is not expected to change
in the near future. In recent years Bakkavör’s
sales have increased more rapidly than the
Swedish market. Since 1997 Bakkavör’s sales
of caviar from lumpfish has increased tenfold
while the market has grown by only 30%.
Sales of Cod roe spreads have grown by 47%
whilst the market has grown 14%. Sales of
marinated herring in jars have grown at a
similar rate to the market, or 20% during the
last five years.
ICA 43%
Finland
Inex 43%
Denmark
Axfood 23%
Coop Sweden 22%
Bergendahls 2%
Others 10%
Kesko 36%
Tuko/Spar 9%
Others incl. Wihuri 12%
Dansk Supermarked 27%
Supergros 20%
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Coop Denmark 37%
Edeka Denmark 4%
Aldi 4%
The Nordic Retail Market
The Nordic Retail Market
Norway
Others 8%
Norway 23%
Norgesgruppen 27%
Sweden 37%
ICA, Hakon, Rimi 22%
Denmark 16%
Coop Norway 20%
Others 20%
Finland 24%
Rema 1000 11%

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It is estimated that
the value of the section of the Swedish market in
which Bakkavör operates, is approximately EUR
130 million, or c. 1% of the total food market
in Sweden. Bakkavör is a key supplier to all
relevant segments of the Swedish market and is
the second largest operator in this market, with a
market share of approximately 25%.
Swedish food sales totalled approximately EUR
16.8 billion in 2001, having increased by 4%
from 2000, with only three groups, ICA, Coop
and Axfood, dominating the market with a total
share of 88.3%. Concentration is also high on
the supply side in Sweden, even by European
standards. The 20 largest food manufacturers
have a total turnover of EUR 12.9 billion.
Consequently, yearly range reviews between
both parties are more likely to be aimed at coexistence,
with neither side in a position where
it can afford to delist the other side for too long.
Retailers’ own brands, with a market share of
close to 9% of the total food retail market, play
a relatively modest role in Sweden. However,
in recent years most retailers in Sweden have
increasingly focused on the development of
their own brands and this has resulted in a
substantial increase in sales of these products.
When retailers select producers to manufacture
goods under their own brands they are discerning
and producers need to meet strict requirements.
Bakkavör’s contacts with supermarket chains
and the Group’s experience in producing goods
under the retailers’ own labels has proven most
beneficial in this respect.

Progress Report
20
Bakkavör Group’s profits before taxes for
2002 amounted to £15.4 million, which
represents an increase of 332% in profits
from 2001, when earnings before taxes
came to £3.6 million. Operating revenues
increased by 226% between years, from
£41.0 million to £133.7 million. Earnings
before depreciation and financial
activities (EBITDA) amounted to £22.8
million, as compared to £6.3 million
in 2001. The increase between years
was 263%, by far the best operating
result returned by the Group since its
foundation.
Our entire range of products can
be described as chilled prepared
convenience food. It consists of five
sub-categories: ready meals, meal
accompaniments, ethnic snacks, dips,
dressings and spreads, and other chilled
prepared foods.
The Group has two subsidiaries in the
UK and one in Sweden, Iceland and
France and an associated company in
Chile. We also have sales offices in
Germany, Denmark and Finland. We
currently employ 2,230 people. The
number of employees increased by
200 during the year, following the
opening of a new factory in London.
UK 75%
sales was in Iceland, at 45%. Bakkavör
Sweden’s turnover increased by 23%,
Bakkavör France’s by 19%, and Bakkavör
Birmingham’s by 18%. Katsouris Fresh
Foods’ turnover increased by 21% in
2002. These increases in the turnover
of the subsidiaries are calculated in the
currencies of their respective countries
of operation.
Our largest investment during 2002
was the building of a new factory in
London. Considerable emphasis was
placed on synergy between the Group’s
subsidiaries and cost-cutting measures
have been implemented in many areas,
particularly in financial, raw material,
packaging and inventories.
Bakkavör operates in three key market
areas: The United Kingdom, the
Nordic Region and Continental Europe.
Operations in each of those areas in the
year 2002 will now be discussed.
Sales by Region
United Kingdom
Bakkavör has operations in two cities
in the United Kingdom. We have
four factories in London and one in
Birmingham, and these five factories
provide 3/4 of our total sales. Our
production in the UK comprises ready
meals, dips and dressings, ethnic snacks,
and meal accompaniments. In 2002 as in
2001, we outperformed the market as we
grew 21% while the market grew 15%.
Bakkavör’s main investment this year
was the building of a new 80,000 sq.
feet (7,500 sq. metres) factory in London.
The factory commenced operations on 17
October 2002 and was formally opened
by the Prime Minister of Iceland, Davíd
Oddsson. The new factory will increase
the our production capacity by 30%. It
will furthermore relieve the strain on our
existing factories in London which had
been operating at more than full capacity
for some time.
Sales by Product Category
Ready Meals 19.4%
Meal
Accompaniments 11.9%
The operation of all Bakkavör’s
subsidiaries either met or surpassed
projections in 2002, with the
exception of Bakkavör Polska. The
greatest proportional increase in
Continental Europe 7%
Nordic
Region 18%
Other Prepared
Foods 21.5%
Ethnic
Snacks 20,0%
Dips, Dressings
and Spreads 27.2%

The Nordic Region
Bakkavör’s production in the Nordic Region consists
of spread in tubes, marinated herring in jars, roe
products such as caviar and several other products.
The Group’s success in the Nordic Region continued
throughout 2002. The increase in sales of Bakkavör
Iceland amounted to 45% and the increase in Bakkavör
Sweden’s sales was over 23%. The Nordic Region now
represents 18% of the Group’s total sales.
22
Bakkavör Iceland’s main products are cod roe, lumpfish
roe, capelin roe and herring. The Icelandic plant
processes a substantial quantity of raw material for
export and further processing in the Group’s plants in
Sweden and France. Bakkavör Iceland has also become
a major buyer of herring in Iceland, with thousands of
tons bought and processed for shipment to Bakkavör
Sweden where final packaging takes place.
Bakkavör Sweden strengthened its position as Sweden’s
second largest manufacturer in it’s market segment.
The principal products of Bakkavör Sweden are
marinated herring, lumpfish caviar, spreads in tubes
and the Swedish dish “Lutfisk”. All of the main product
categories enjoyed a healthy growth rate during the
year. During 2002 Bakkavör Sweden reduced its product
portfolio with the purpose of increasing efficiency. This
proved a successful strategy as Bakkavör Sweden has
gained sales. The sales office in Finland, which only
sells products from Bakkavör Sweden, also enjoyed a
satisfactory year.

Continental Europe
Continental Europe is our smallest market area,
accounting for approximately 7% of the Group’s
revenues. We operate a production facility in
France and have a sales office in Germany.
The operations of Bakkavör France were successful
during the year and turnover increased by just
over 19%. During the year Bakkavör’s France
factory was increased in size by one third. The
principal products of Bakkavör France are salmonand
lumpfish-caviar, tarama, smoked salmon, king
crab and scallops. The crab, smoked salmon and
scallops are produced by our associated company
in Chile Pesquera Isla Del Rey (PIDR). It is imported
to Bakkavör France for packaging and selling to
consumers in France.
The operations of our subsidiary Bakkavör Polska were
poor and the operations were closed down at the end
of the year. Unfavourable market conditions in Poland
played a major part in this decision and the operations
of the major Polish supermarkets, Bakkavör’s Polska
chief customers, experienced considerable difficulties
during the year. Furthermore, the operations of this
subsidiary were no longer compatible with the Group’s
overall policy. Our assets in Poland have all been
written off but we gained valuable experience after its
dealings in Poland, one of the largest food markets in
Europe.
23
Bakkavör has a sales operation in Germany, Bakkavör
Germany, which performed well during the year.
Bakkavör also opened a new sales office in Denmark
to sell the Group’s products on the Danish market.

24
Board of Directors

Brynjólfur Bjarnason (56)
Brynjólfur is Vice-Chairman of the Board. He has been the Managing Director
of Iceland Telecom hf. since 2002. Previous to that he was Managing
Director of Grandi hf., one of Iceland’s largest fishing companies, since 1985.
Brynjólfur has a B.Sc. degree in business studies and an MBA. Brynjólfur
took a seat on the board of Bakkavör Group in 1995. He has been a board
member of various companies in Iceland, Chile, Mexico, the USA and France.
Antonios Yerolemou (60)
Antonios is Executive Chairman of KFF. He was one of the founders of
Katsouris Fresh Foods Ltd. and was the Managing Director from the start
until 2002. He took a seat on the board of Bakkavör Group in 2001.
Antonios was born in Cyprus but moved to England in 1960.
25
L‡dur Gudmundsson (35)
L‡dur is Managing Director of Bakkavör Group. He founded Bakkavör Group
with his brother, Ágúst, at the age of 19 and has channelled his energy
into the company since then. Together with Ágúst, L‡dur has successfully
managed the Group’s growth from its inception.
Panikos Katsouris (52)
Panikos is Managing Director of Katsouris Brothers Ltd. After
graduating in Economics in 1974, he joined the family business,
Katsouris Brothers Ltd. Panikos was one of the founders of Katsouris
Fresh Foods Ltd. in 1982 and has served as the company’s Finance
Director from the beginning. He took a seat on the board of Bakkavör
Group in 2001. Panikos is also Finance Director of KFF.
Hreinn Jakobsson (41)
Hreinn has been Managing Director of Sk‡rr hf., one of Iceland’s largest
IT companies, since 1997. Hreinn has a B.Sc. degree in business studies
and joined the board of Bakkavör Group in the year 2000. He has been
a board member of various companies in information technology and
other industries.
Ágúst Gudmundsson (38)
Ágúst is Executive Chairman of Bakkavör Group. At the age of 22 he
founded Bakkavör Group with his brother L‡dur. Since then, he has
dedicated himself to the Company. In the 16 years that Bakkavör has
been in existence, Ágúst has played a key role in the rapid but secure
growth of the Company.
Ásgeir Thoroddsen (60)
Ásgeir is a lawyer and has been a partner in Reykjavík Law Firm since
1977. Ásgeir took a seat on the board of Bakkavör Group in the year
2000. He has been a board member of various companies and is
former Chairman of the Icelandic Bar Association.

26
New Product
Development
The objective of Bakkavör’s new product
development is to offer our customers constantly
new products and to increase the added value
of our products. The objective is also to improve
and expand the Group’s core expertise in all types
and stages of processing. One of the goals of
Bakkavör’s new product development is to invent
products suitable for the chilled cabinet range
and shorten meal preparation times and effort.
We have adopted the strategy of conducting new
product development within each local market,
and each production subsidiary has its own new
product development strategy, designed in the
context of its own regional market. Close to 30
employees are currently engaged in new product
development at Bakkavör.
In our subsidiary in London, more than 200 new
products are developed in the development
kitchen each year. These products are often
prepared in response to an approach from a
retail chain customer, although many products
are tested on the Company’s own initiative.
Frequent visits from retail chain representatives
are scheduled to taste new products and decide
which ones should be taken forward into full
production and supply. The time from conception
to launch of a new product varies between
the companies in the Group, but in the UK,
Bakkavör’s largest market, the entire process
normally takes 3-4 months.

Shareholders
A total of 48% of the shares in Bakkavör are now
held by directors and key employees, including
the 29% held by the two founders of Bakkavör,
Ágúst and L‡dur Gudmundsson. About 27% of the
Company’s shares are held by investors outside
Iceland. On the right is a list of the 20 largest
shareholders at the end of 2002.
Principal Shareholders*
Name No. of Shares %
1 Bakkabrædur S.a.r.l. 440,524,954 28.96 %
2 Kaupthing Luxembourg S.A. 75,005,696 4.93 %
3 Antonios Prodromou Yerolemou 74,534,353 4.90 %
4 Commerce Pension Fund 69,225,882 4.55 %
5 Seamen’s Pension Fund 54,648,440 3.59 %
6 Bankastræti 7 Pension Fund 52,433,824 3.45 %
7 Eleni Pishiris 52,336,471 3.44 %
8 Panikos Joannou Katsouris 52,336,471 3.44 %
9 Stella Andreou 52,336,470 3.44 %
10 Demos Habeshis 52,336,470 3.44 %
11 Frams‡n Pension Fund 48,470,471 3.19 %
12 Búnadarbanki Íslands hf. 41.575,021 2.73 %
13 Mills DA 37,956,868 2.50 %
16 Kaupthing Bank hf. 28,939,362 1.90 %
17 Nordurland Pension Fund 17,953,429 1.18 %
18 Landssjódur hf. Investment Fund 16,522,390 1.09 %
19 Búnadarbanki Investment Fund 14,140,447 0.93 %
20 TM (insurance) 14,006,059 0.92 %
27
3943 other shareholders 325,771,671 21.42 %
Total 1,521,054,749 100.00 %
* As of 31 December 2002
Bakkavör Group’s share performance
in 2002 compared to FTSE 100, OMX
and ICEX15
Bakkavör Group’s share
performance in 2002
180
13
450
160
140
120
100
80
60
40
20
0
feb may aug nov
Share Price
12
11
10
9
8
7
6
5
4
3
feb may aug nov
400
350
300
250
200
150
100
50
0
Volume ISK million
Bakkavör Group
ICEX15
FTSE 100
OMX
Turnover ISK million Share Price Volume, 20 moving average

Product
Quality and Safety
The quality and safety of our products is
of utmost importance as we realize that this is one
of the cornerstones of our operations. Therefore we
focus on maintaining the highest possible quality
standards in our production plants. Our customers
pay us frequent visits, inspecting the quality
and safety of our products. In addition we have
implemented International Quality Standards
such as ISO 9001/2000 and the British Retail
Consortium Standard (BRS) in our production
facilities.
Our People
Motivated and committed management
represents Bakkavör’s strongest asset, and
these employees will form the foundation
for the Company’s further development.
With the significant expansion process that
Bakkavör has gone through in the last couple
of years, it has been strategically important
that management and owners of acquired
companies have maintained their ties with
Bakkavör and continue to contribute to the
Group with their experience and expertise.
29
N u m b e r o f E m p l o y e e s
Number of Employees
2400
2200
2000
1800
1600
1400
1200
1000
800
600
400
200
1998
1999
2000
2001
2002

Corporate Information
30
Bakkavör Group hf.
Brekkustígur 22
260 Reykjanesbær
Iceland
London Office
Bakkavör Group hf.
40 Cumberland Avenue
Park Royal London NW10 7RQ
UK
Copenhagen Office
Bakkavör Group hf.
Linnésgade 14
1361 Copenhagen K
Denmark
Principal Bankers
Bank of Scotland, UK
HSBC, UK
The Royal Bank of Scotland, UK
Landsbanki Íslands, Iceland
Íslandsbanki, Iceland
Investment Bankers
Kaupthing Bank
Ármúli 13
108 Reykjavík
Iceland
Auditor
Deloitte & Touche hf.
Stórhöfdi 23
110 Reykjavík
Iceland
Annual General Meeting
14 February 2003
Annual Report
www.bakkavor.com

Bakkavör Group hf.
Financial Highlights & Review
31

Bakkavör Group’s Progress
Profit and Loss Account 2002 2001 Change %
Operarting revenue 133,684,183 41,036,093 225.8%
Operating expenses 110,876,333 34,750,436 219.1%
EBITDA 22,807,850 6,285,657 262.9%
32
Depreciation and amortization 3,413,829 2,024,105 68.7%
Financial items 3,956,693 684,091 478.4%
Net income from operating activities 15,437,328 3,577,461 331.5%
Taxes 4,061,937 1,016,590 299.6%
Net profit from ordinary activities 11,375,391 2,560,871 344.2%
Extraordinary items (433,900) - -
Net profit for the year 10,941,491 2,560,871 327.3%
Working capital from operating activities 15,274,180 4,140,485 268.9%
Balance sheet
Fixed assets 137,080,958 124,139,411 10.4%
Current assets 36,323,995 36,207,536 0.3%
Total assets 173,404,953 160,346,947 8.1%
Equity 58,610,612 46,974,823 24.8%
Subordinate convertible loan 15,923,077 15,944,450 -0.1%
Deferred tax liability 1,670,722 720,786 131.8%
Long term liabilities 61,584,839 71,031,704 -13.3%
Short term liabilities 35,615,703 25,675,184 38.7%
Liabilities 114,794,341 113,372,124 1.3%
Total equity and liabilities 173,404,953 160,346,947 8.1%
Key ratios
Current ratio 1.02 1.41
Equity ratio 33.8% 29.3%
Equity ratio incl. subordinated loan 43.0% 39.2%
Figures in GBP

Financial Highlights
EBITDA increase of 263% to £22.8 million
EBITDA ratio to operating revenue was 17.1% - up from 15.3%
Net profit increase of 344% to £11.4 million
Ratio to operating revenue was 8.5% - up from 6.2%
Equity at £58.6 - up by 24.8%
Equity ratio to total assets was 33.8% - up from 29.3%
33
Turnover EBITDA EBITDA %
Million GBP
Million GBP
%
140
30
25
120
25
20
100
80
20
15
15
60
10
10
40
20
5
5
0
0
98 99 00 01 02
98 99 00 01
02
0
98
99
00 01 02
year
Income before taxes taxes Net profit Equity ratio ratio
Million GBP
Million GBP
%
18
18
50
16
16
45
14
14
40
12
12
35
10
8
10
8
30
25
20
6
6
15
4
4
10
2
2
5
0
98
99
00 01 02
0
98
99
00 01 02
0
98
99
00 01 02
year
Subordinated loan
Equity

Financial Review
Summary
34
Earnings before interest, tax, interest depreciation and
amortization (EBITDA) amounted to £22.8 million. This is
an increase of 263% from the £6.3 million EBITDA in 2001.
The EBITDA ratio to the operating income increased to 17.1%
from 15.3%.
The operating profit increased by 355% to £19.4 million.
The net profit from ordinary activities for the year totals
£11.4million. This represents an increase of 344% from
last year’s figure of £2.6 million.
The cash flow was strong and increased during 2002. Total
cash from operations was £15.3 million. Along with cash carried
forward from previous years this created a strong cash position
that primarily was invested in additional production capacity.
Bakkavör Group also started repaying the long-term senior loan
at the end of 2002.
The overall results in 2002 were in line with management’s
expectations.
Tax
Tax calculated on income during 2002 amounts to £4.1 million.
This means an effective tax rate of 27.1%. In 2001 the effective
tax rate was 28.4%. The effective tax rate should be compared
to the official UK corporation tax rate of 30%.
Trading between the Group’s subsidiaries is monitored
carefully to ensure that all transactions are based on arm’s
length principles. Careful planning of taxes and utilization of
differences in local tax regimes and rates will be an important
contribution to the overall result of the group.

Accounting Standards
The financial statements are based
on Icelandic legislation and generally
accepted accounting procedures.
Since 1 January 2002 companies have
been authorized in Iceland to present
their financial statements in certain
currencies other than the Icelandic
króna. Consequently, Bakkavör Group
has used pound sterling as the
functional currency throughout 2002.
Iceland is a member of the European
Economic Area and has started
implementing international accounting
standards. As of 2005 Iceland will
adopt the standards issued by the
International Accounting Standards
Committee. Bakkavör Group will be
prepared to implement any necessary
changes.
Cash Flow
Cash flow during the year was
strong and the self-financing rate
from earnings has been high. Cash
generated from operations during the
year totalled £13.6 million compared
to £0.6 million during 2001.
Working capital from operations
amounted £15.3 million, representing
an increase of 269% over the £4.1
generated in 2001.
Capital Expenditure
Capital expenditure for the year was
£15.9 compared to £1.7 million in
2001, and has mainly been spent on
increasing the production capacity to
support the market growth and the
rise in the consumer driven demand
for fresh prepared and chilled food.
The production capacity is currently
considered satisfactory.
Innovation is an essential part of our
activities, as is the Group’s ability
to develop and bring successful
new products on to the consumer
market. This has once again been a
success in 2002 and over 200 new
products have been developed and
launched within the Group. Spending
on innovation is therefore very crucial
for the progress of the Group.
In 2002 Bakkavör expensed all of the
Group’s innovation cost except for
£55,604.
Bakkavör Group is constantly looking
for high return opportunities to
increase the production capacity,
especially in the UK fresh food
sector.
Capital Structure and
Finance
Shareholders equity at year end
totalled £58.6 million, increasing
from £47.0 million in 2001, mainly
due to retained profit of £10.9
million.
Net borrowing at the end of the
year was £74.3 million compared to
£73.2 million in 2001. As expected
the Group started to reduce debt at
the end of 2002, after having selffinanced
a great part of major capital
expenditures in 2002. Bakkavör
Group expects to continue reducing
debt on a larger scale in 2003
resulting in a decrease in the net
borrowing.
Net financial expenses during
the year amounted to £4.1million
compared to £1.0 million in 2001.
The rise is due to the higher debt
level in 2002. Interest cover remains
comfortably above our target
level and well within our banking
covenant. Interest expenses in 2003
are expected to decrease as interest
rates for the first nine months of
2003 have already been set at a
lower level than rates in 2002.
Furthermore, the total debt level in
the Group will of course decrease
due to the repayment of the longterm
senior loan.
35

36
Bakkavör Group has secured a £10
million committed revolving credit
facility for 6 years and a 6 year
long-term senior loan with a group
of reputable banks: Halifax Bank of
Scotland, HSBC, The Royal Bank of
Scotland, Islandsbanki Iceland and
Bank of Ireland. Bakkavör Group also
holds a number of committed and
uncommitted credit facilities and lines
with a number of reputable banks,
including Kaupthing Bank Iceland,
Landsbanki Iceland and Roskilde
Bank Denmark.
This ensures that short and mediumlong
term funding is available to
support the Group’s continued
growth requirements. Together with
the strong cash flow from operations
and comfortable headroom on our
borrowing limits, Bakkavör Group is
in an excellent position to finance
its future investments and take
advantage of opportunities that
become available.
Treasury Policies
Our treasury activities are controlled
and monitored by the Managing
Director and are carried out in
accordance with policies approved
by the Board. The purpose of the
treasury policies is to ensure that
adequate cost-effective funding
is available at all times and
that exposure to financial risk is
minimised. The main risk managed
by the Group Treasury department is
funding risk, interest risk and currency
risk.
A number of new policies have been
implemented in 2002 by the Group
Treasury. Bakkavör Group is now
working with an “internal bank” set
up, where Bakkavor (London) Ltd.
is the financial vehicle in which all
borrowing is concentrated and the
debt management is located.
At the beginning of 2002 an improved
and enlarged cash flow forecasting
system was implemented, together
with a new and improved liquidity
concept policy in the Group and as
expected, this is now a very useful
steering tool in all the subsidiaries
and on a consolidated basis in the
Group. The cash flow forecasting
system basically works in the way
that once a month all subsidiaries
in the group prepare a forecasting
file, covering the next three months
broken down week by week in the
first month, showing detailed cash
in- and outflow and planned money
transfers to and from the subsidiary
and the “internal bank.” This is
submitted to the Group Treasury
which evaluates the planned cash
level in the subsidiary and approves
it. On this basis Group Treasury works
out a consolidated cash flow forecast
for the next three months and at the
same time the required draw down
on available credit lines is planned to
cover any cash need, which cannot be
self-financed by the Group.
Cash positions in the major
subsidiaries are monitored daily and
Group positions are calculated at
the end of each week and checked
against the consolidated cash
flow forecast to identify any major
discrepancies. On a current basis
the medium and long-term liquidity
are checked together with a control
of the covenant level. Internal audit
on Treasury is also conducted in the
subsidiaries on a regular basis.
The Group therefore has very strong
cash management and very cost
effective cash flow management.

The inter-company set up was also
changed during 2002 and is now
placed within and managed by
the “internal bank”. At the same
time a completely new monthly
inter-company clearing system was
developed and implemented. The goal
was to eliminate internal transfers
and payment connected to internal
purchase and sale, to release internal
human resources, lower tied-up
capital in the subsidiaries and to
obtain high transparency in intercompany
financing. All these goals
have now been realized.
Only simple financial instruments are
used, such as interest cap, interest
swaption, forward rate agreement
contracts, interest rate swap
contracts, forward currency contracts
and currency swaps contracts. The
purpose of this is to hedge against
the effect of significant movements
in both interest and currency rates
on the underlying business activities.
All currency hedging is handled as
cash flow hedging which means that
hedging contracts can be “linked”
directly to the underlying cash flow.
The Group Treasury does not operate
as a profit centre and no speculative
transactions are permitted.
Interest Rate
Management
At year end 2002 Bakkavör Group’s
core borrowing was £68 million.
Bakkavör manages exposure to
interest fluctuations through capped
rate agreements for 80% of this debt
amount with floating rates. From
January 2002 interest rates on 80% of
the debt is capped for 2 years. After
this period Bakkavör has a 2 year
interest swaption for 27% of the core
borrowing, which can be exercised.
Bakkavör Group is currently following
developments in interest rates and
evaluating the possibility of entering
into an interest swap agreement to
change floating rates to fixed rates for
part of the debt or the whole debt.
In 2002 Bakkavör Group benefited
from floating rates and the
Group’s cost of debt has been at a
satisfactory level.
Liquidity Risk &
Debt Management
Bakkavör Group’s policy is to ensure
that the Group has necessary shortterm
and adequate medium-term
funding and committed bank facilities
available to meet forecasted peak
borrowing requirements.
At year end 2002 Bakkavör Group
had committed 6 year credit line
facilities of £10 million and a
number of uncommitted facilities and
overdraft lines. In addition the core
borrowing of the Group, £68 million,
is also committed for a 6 year period
and the committed bank facilities also
include a convertible loan of £15.9
million.
Group Treasury is using cash pooling
and netting set up to centralise cash
control.
Bakkavör Group’s borrowing portfolio
is reviewed continuously and this, in
combination with the Group’s cash
and cash equivalents, constitutes the
Group’s short-term financial resources.
37

38
Foreign Currency Risk
Foreign currency management is
mainly handled centrally by the
“internal” bank in the Group.
Currency management focuses on risk
minimisation and cash flow hedge.
Approximately 3/4 of Bakkavör
Group’s turnover and costs are in
pound sterling. As the major part
of the core borrowing is in pound
sterling this provides a natural hedge.
Bakkavör has several operations
outside of the UK and their receipts
and payments are mainly in the local
currency. The currency risk is covered
by foreign currency forward contracts
and currency swap contracts. The
currency exposure on the purchase
of goods in foreign currency is
eliminated through the use of forward
exchange contracts.
Credit Risk Handling
Bakkavör Group has a concentration
of credit risk on a small number of
large retail chains, mainly located
in the UK but also in a number of
European countries. These retail
chains are closely monitored by the
Group’s management in order to
ensure that they are creditworthy
trading partners. It should also be
noted that Bakkavör Group conducts
business with the 10 biggest retail
chains in Europe and they are all
listed on different stock markets.
Furthermore, they represent between
80 and 90% of the debtors in
Bakkavör Group. It is also well known
that shares in food companies are
generally considered to be defensive
shares which are not influenced
highly by changes in economic cycles.
Historically, the losses sustained on
debtors within Bakkavör Group have
been insignificant, and this has also
been the case in 2002.
All main creditors are closely
investigated before collaboration
is entered into and are closely
monitored afterwards. This is mainly
to protect the safety of our business
and to avoid any supply problems.
The inventory is also monitored
closely in order to ensure the best
possible quality of the goods and
to ensure a steady supply to our
customers. The Group treasury is
currently monitoring the tied-up
capital in the inventory and no
subsidiary in the Group is able to
increase the inventory significantly
without involving the “internal” bank.
A new and improved stock monitoring
system has been implemented in the
Group in 2002.
Insurance and Risk
Management
After 11 September 2001 Bakkavör
Group’s insurance premiums have
increased by hundreds of percent.
This has resulted in Bakkavör starting
up a new project whereby we have
appointed the insurance broker Marsh
to take over all our insurance issues.
During the coming year we will focus
closely on insurance issues to ensure
that
our business and processes
have the optimum acceptable
insurance coverage. Disaster plans for
the manufacturing units are reviewed
on a continuing basis.
Internal Audit
During 2002 we have started up our
own internal audit processes. All
companies are now regularly being
audited and plans for development
are being devised and implemented.
Policies and procedures are constantly
reviewed and improved and we
strive to achieve the best from each
subsidiary and use it throughout
Bakkavör Group.
The Group only works with reputable
banks which do not carry any credit
risk.

Financial Statement, Summary
Consolidated profit and loss account 2002
2002 2001
Turnover 133,684,183 41,036,093
Cost of sales (89,400,438) (29,924,749)
Depreciations and amortizations (3,413,829) (2,024,105)
Other operating expenses (21,475,895) (4,825,688)
39
Operating profit before financial items 19,394,021 4,261,551
Net financial expenses (3,956,693) (684,091)
Income before taxes 15,437,328 3,577,460
Income tax (4,061,937) (1,016,590)
Profit on ordinary activities after taxation 11,375,391 2,560,870
Extraordinary items (433,900) 0
Net profit 10,941,491 2,560,870
Dividends paid 0 (668,880)
Retained profit carried forward 10,941,491 1,891,990
Figures in GBP

Balance Sheet as at 31 December 2002
31. 12. 2002 31. 12. 2001
40
Fixed assets
Intangible assets 102,828,709 103,294,649
Tangible assets 33,767,910 20,283,043
Investments 484,339 561,719
137,080,958 124,139,411
Current assets
Inventories 11,780,349 9,521,420
Debtors due within one year 23,163,452 18,428,753
Cash 1,380,194 8,257,364
36,323,995 36,207,537
Creditors
Due within one year (35,615,703) (25,675,183)
(35,615,703) (25,675,183)
Net current assets 708,292 10,532,354
Total assets less current liabilities 137,789,250 134,671,765
Creditors due after one year
Borrowings (61,584,839) (71,031,704)
Provision for deferred income tax (1,670,722) (720,786)
(63,255,561) (71,752,490)
Net assets 74,533,689 62,919,275
Capital and reserves
Called up share capital 10,191,058 10,165,611
Share premium 35,983,708 35,805,065
Other equity 12,435,846 1,004,147
Shareholders equity 58,610,612 46,974,823
Subordinated convertible loan 15,923,077 15,944,450
74,533,689 62,919,273
Figures in GBP

Consolidated Cash Flow Statement 2002
2002 2001
Cash flow from operating activities
Operating profit 14,868,322 3,244,961
Depreciation 3,413,829 2,024,105
Loss (gain) on sale of assets (18,989) 28,226
Deferred income tax liability 969,185 (169,237)
Affiliated companies (1,474) (39,574)
Inventories, change (1,220,130) 1,908,684
Current receivables, change (3,807,998) (4,134,761)
Current liabilities, change 3,383,248 (1,362,739)
Cash flow from operating activities 17,585,993 1,499,665
41
Net financial expenses (3,956,693) (947,997)
Purchase of tangible assets (15,879,219) (1,651,828)
Purchase of shares 0 (114,629,942)
Dividends paid 0 (668,880)
Cash flow before financing (2,249,919) (116,398,982)
Financing
Issue of ordinary share capital 265,731 39,256,714
Increase (decrease) in debt (4,896,964) 77,991,999
Change in cash for the period (6,881,152) 849,731
Cash from acquired companies 0 5,223,709
Cash at the beginning of the year 8,261,346 2,183,922
Cash at end of year 1,380,194 8,257,362

Bakkavör Group hf.
Financial Statement 2002

Directors’ Endorsement
The board and director of Bakkavör Group hf. are of the opinion that the annual accounts contain all the information
necessary to form a clear picture of the Company’s standing at the year end, the year’s operating results and the year’s
financial developments.
Net income amounted to GBP 10.9 million. The board of the Company proposes that no dividend will be paid out to
shareholders in the year 2003, but otherwise refers to the annual accounts regarding changes in the Company’s net
worth and disposal of profits.
At the year end the number of shareholders was 3,963 shareholders. At the beginning of the year there were 4,549
shareholders. One shareholder holds more than 10% of stock, Bakkabrædur with 28.96%.
44
The board and director of Bakkavör Group hf. hereby confirm with their signature, the Company’s annual accounts for
the year 2002.
Reykjanesbær, 31 January 2003
Members of the board
L‡dur Gudmundsson
Managing Director
Ásgeir Thoroddsen
Ágúst Gudmundsson
Chairman
Brynjólfur Bjarnason
Hreinn Jakobsson
Antonios P. Yerolemou
Panikos Joannou Katsouris
Auditors’ Report
To the board of directors and shareholders of Bakkavör Group hf.
We have audited the accompanying balance sheet of Bakkavör Group hf. as of December 31 2002, and the related
statement of income for the year then ended. These financial statements are the responsibility of the Company’s
management. Our responsibility is to express an opinion on these financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we
plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the
financial statements. An audit also includes assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a
reasonable basis for our opinion.
In our opinion, the financial statements give a true and fair view of the financial position of Bakkavör Group hf. as of
31 December 2002 and of the results of its operations and its cash flows for the year then ended in accordance with
generally accepted accounting principles applied on a consistent basis.
Reykjavík, 31 January 2003
Deloitte & Touche hf.
Hilmar A. Alfredsson
State Authorized Accountant
Gudlaugur Gudmundsson
State Authorized Accountant

Statement of Income 2002
Operating income
Notes 2002 2001
Net sales 133,555,177 40,976,101
Other operating income 129,006 59,991
133,684,183 41,036,092
45
Operating expenses
Production cost 89,400,438 29,924,749
Other operating expenses 21,475,895 4,825,687
Depreciation 5 3,413,829 2,024,105
114,290,162 36,774,541
Operating profit before financial items 19,394,021 4,261,551
Financial expenses
Net financial expenses 14 (3,956,693) (684,091)
Income before taxes 15,437,328 3,577,460
Income tax
Income tax (4,061,937) (1,016,590)
Net income from ordinary activities 11,375,391 2,560,870
Loss on discontinuance of Bakkavör Polska 15 (433,900) 0
Net income 10,941,491 2,560,870
Figures in GBP

Balance Sheet as at 31 December 2002
Assets
Notes 31. 12. 2002 31. 12. 2001
Fixed assets
46
Intangible assets 3
Capitalised development expenses 376,304 565,832
Goodwill 102,452,405 102,728,817
102,828,709 103,294,649
Tangible assets 4
Real estate 12,953,626 7,380,579
Vehicles 305,070 379,518
Equipment 20,509,214 12,522,946
33,767,910 20,283,043
Shareholdings 6
Shareholdings in associates 468,648 560,631
Shareholdings in other companies 15,691 1,088
484,339 561,719
Total fixed assets 137,080,958 124,139,411
Current assets
Inventories 7
Raw materials and packaging 9,841,978 7,847,174
Finished goods 1,938,371 1,674,245
11,780,349 9,521,419
Current receivables
Accounts receivables 18,742,396 15,455,414
Other current receivables 4,421,056 2,973,339
23,163,452 18,428,753
Cash
Bank deposits 1,380,194 8,257,364
1,380,194 8,257,364
Total current assets 36,323,995 36,207,536
Total assets 173,404,953 160,346,947
Figures in GBP

Equity and Liabilities
Notes 31. 12. 2002 31. 12. 2001
Equity 8
Common stock 10,191,058 10,165,611
Reserve fund 35,983,708 35,805,065
Other equity 12,435,846 1,004,147
Total equity 58,610,612 46,974,823
47
Subordinated convertible loan 9 15,923,077 15,944,450
Obligations
Deferred income tax liability 10 1,670,722 720,786
Total obligations 1,670,722 720,786
Liabilities
Long term liabilities 11
Credit institutions 70,275,382 75,846,672
70,275,382 75,846,672
Current maturities (8,690,543) (4,814,968)
61,584,839 71,031,704
Current liabilities
Current maturities of long term liabilities 8,690,543 4,814,968
Bank loans 5,408,987 5,643,667
Accrued taxes 1,568,756 2,928,970
Other current liabilities 19,947,417 12,287,579
35,615,703 25,675,184
Total liabilities and obligations 98,871,264 97,427,674
Total equity and liabilities 173,404,953 160,346,947

Statement of Cash Flow 2002
Cash flow from operating activities
2002 2001
48
Net income 10,941,491 2,560,870
Items not affecting working capital
Depreciation 3,413,829 2,024,105
Calculated inflation adjustments 0 (415,867)
Indexation on long term debt (29,862) 151,962
(Gain) Loss on sale of assets (18,989) 28,226
Deferred income tax liability, change 969,185 (169,237)
Affiliated companies (1,474) (39,574)
Working capital from operations 15,274,180 4,140,485
Change in current assets and liabilities
Inventories (1,220,130) 1,908,684
Current receivables (3,807,998) (4,134,761)
Current liabilities 3,383,248 (1,362,739)
Cash flow from operating activities 13,629,300 551,669
Investing activities
Tangible assets (15,879,219) (1,651,828)
Shareholdings 0 (114,629,942)
Investing activities (15,879,219) (116,281,770)
Financing activities
Bank loans (262,828) (7,646,756)
New long term debt 0 77,612,390
Subordinated loan 0 15,944,450
Payments of long term debt (4,634,136) (7,918,085)
Dividends paid 0 (668,880)
Proceeds from issue of capital stock 265,731 39,256,714
Financing activities (4,631,233) 116,579,833
Net (decrease) increase in cash (6,881,152) 849,732
Cash from acquired companies 0 5,223,709
Cash at beginning of year 8,261,346 2,183,921
Cash at end of year 1,380,194 8,257,362
Figures in GBP

Notes to the Consolidated Financial Statements
1.
Summary of significant accounting policies
The financial statements have been prepared in accordance with Icelandic law and generally accepted accounting
principles.
The financial statements have been prepared on the historical cost basis.
By legislation of a change in Icelandic Act no. 144/1994 on Financial Statements the effects of general price level
changes on the operation and financial position of the Icelandic reporting entities will cease to be reported,
effective 1 January 2002. Accordingly the Financial Statements do not report the effects of general price level
changes since 1 January 2002. Comparative figures for the previous period have not been changed.
49
Up until 31 December 2001 all statements were prepared in ISK. As of 1 January 2002 Bakkavör Group has changed
this and is now preparing all statements in GBP, which is the company’s functional currency. This is in accordance
with changes in act no. 144/1994 on Financial Statements. For the convenience of the reader comparative figures
from 2001 which were originally stated in Icelandic króna have been translated from Icelandic króna into GBP.
Income items and balance sheet items have been translated at the year end exchange rate 2001.
Change is made in amortization of goodwill resulting from premiums paid for shares in subsidiaries. In previous
years goodwill was amortizised linearly. From the year 2002 impairment test will be performed. If goodwill had
been amortized in the same way in 2002 as in 2001 amortization would have been GBP 2.4 million higher.
Basis of consolidation
The consolidated financial statements incorporate the financial statements of Bakkavör Group hf. (the Company)
and enterprises controlled by the Company (its subsidiaries) made up to 31 December each year. Control is
achieved where the Company has the power to govern the financial and operating policies of an investee
enterprise so as to obtain benefits from its activities.
On acquisition, the assets and liabilities of a subsidiary are measured at their fair values at the date of acquisition.
The results of subsidiaries acquired or disposed of during the year are included in the consolidated income
statement from the effective date of acquisition or up to the effective date of disposal, as appropriate.
Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies
used into line with those used by other members of the Group.
All intercompany transactions and balances between group enterprises are eliminated on consolidation.
Investments in associates
An associate is an enterprise over which the Group is in a position to exercise significant influence, through
participation in the financial and operating policy decisions of the investee.
The results and assets and liabilities of associates are incorporated in these financial statements using the equity
method of accounting. The carrying amount of such investments is reduced to recognise any impairment in the
value of individual investments.

Notes to the Consolidated Financial Statements
Goodwill
50
Goodwill arising on consolidation represents the excess of the cost of acquisition over the Group’s interest in the fair value
of the identifiable assets and liabilities of a subsidiary or associate at the date of acquisition. Goodwill is recognised as an
asset and reviewed for impairment at each balance sheet date. The amount of impairment is calculated using discounted
expected future cash flows. The discount rate applied to these cash flows is based on weighted average cost of capital,
which represents the blended after tax costs of debt and equity. Impairment charges are measured on the basis of
comparison of estimated fair values (discounted expected future cash flows) with corresponding book values.
Revenue recognition
Sales of goods are recognised when goods are delivered and title has passed.
Interest income is accrued on a time basis, by reference to the principal outstanding and at the interest rate applicable.
Dividend income from investments is recognised when the shareholders’ rights to receive payment have been established.
Leasing
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of
ownership to the lessee. All other leases are classified as operating leases.
Foreign currency
Transactions in currencies other than GBP are initially recorded at the rates of exchange prevailing on the dates of the
transactions. Monetary assets and liabilities denominated in such currencies are retranslated at the rates prevailing on the
balance sheet date. Profits and losses arising on exchange are included in net profit or loss for the period.
On consolidation, the assets and liabilities of the Group’s overseas operations are translated at exchange rates prevailing
on the balance sheet date. Income and expense items are translated at the average exchange rates for the period. Exchange
differences arising, if any, are classified as equity and transferred to the Group’s translation reserve. Such translation
differences are recognised as income or as expenses in the period in which the operation is disposed of.
Taxation
The charge for current tax is based on the results for the year as adjusted for items which are non-assessable or disallowed.
It is calculated using tax rates that have been enacted or substantively enacted by the balance sheet date.
Deferred tax is accounted for using the balance sheet liability method in respect of temporary differences arising from
differences between the carrying amount of assets and liabilities in the financial statements and the corresponding tax
basis used in the computation of taxable profit. Deferred tax liabilities are recognised for all taxable temporary differences
and deferred tax assets are recognised to the extent that it is probable that taxable profits will be available against which
deductible temporary differences can be utilised.
Figures in GBP

Notes to the Consolidated Financial Statements
Deferred tax liabilities are recognised for taxable temporary differences arising on investments in subsidiaries and associates,
except where the Group is able to control the reversal of the temporary difference and it is probable that the temporary
difference will not reverse in the foreseeable future.
Deferred tax is calculated at the tax rates that are expected to apply to the period when the asset is realised or the liability
is settled. Deferred tax is charged or credited in the income statement, except when it relates to items credited or charged
directly to equity, in which case the deferred tax is also dealt with in equity.
51
Deferred tax assets and liabilities are offset when they relate to income taxes levied by the same taxation authority and the
Group intends to settle its current tax assets and liabilities on a net basis.
Fixed assets and depreciation
Fixed assets are stated at cost less accumulated depreciation. Depreciation is charged so as to write off the cost of assets,
other than land and properties under construction, over their estimated useful lives, using the straight-line method, on the
following bases:
Real estate 4%
Transport equipments 15%
Equipments 8-20%
Assets held under finance leases are depreciated over their expected useful lives on the same basis as owned assets.
Assets held under finance leases are depreciated over their expected useful lives on the same basis as owned assets.
Internally-generated intangible assets - research and development expenditure
Expenditure on research activities is recognised as an expense in the period in which it is incurred.
Costs related to the creation of brands and designs can be capitalized and amortized over the expected useful lifetime of
such intangible asset. Should the related products, names or designs be taken out of production before such assets are
fully amortized the remaining value will be expensed at that time.
Inventories
Inventories are stated at the lower of cost and net realisable value.
Cost prices of processed stocks are direct material costs, direct wages costs and a proportion of indirect processing costs
while cost price for purchased stock is the actual cost of acquisition.
Cost is calculated using the “first in - first out” - principal (FIFO).
Current receivables
Current receivables are stated at their nominal value as reduced by appropriate allowances for estimated irrecoverable
amounts.

Notes to the Consolidated Financial Statements
2.
Subsidiaries
52
The consolidated financial statements of Bakkavör Group hf. include these subsidiaries.
Interest
Bakkavör Ísland hf 100%
Bakkavör ITC ehf. av 100%
Bakkavör Holding ApS 100%
Bakkavör UK ltd 100%
Bakkavör Birmingham ltd 100%
Bakkavör Sweden AB 100%
Bakkavör Germany GmbH 100%
Bakkavör London ltd 100%
Katsouris Fresh Foods ltd 100%
Fillo Pastry ltd 100%
Bakkavör Finland oy 100%
Bakkavör France SA 100%
Bakkavör Chile SA 100%
Bakkavör Danmark A/S 100%
3.
Intangible assets
Intangible assets consist of capitalised development cost and goodwill resulting from from premiums paid for shares in
subsidiaries. Product development costs entered as assets during the year amounted to GBP 55,604.
Restated costs 1/1 103,294,649
Additions in 2002 55,604
Exchange rate adjustments (35,305)
Amortization in 2002 (486,239)
Book value 31/12 102,828,709
4.
Tangible assets
Real estate Vehicles Equipments Total
Restated cost 1/1 10,347,345 737,754 32,102,843 43,187,942
Depreciation 1/1 (2,966,766) (358,236) (19,579,897) (22,904,899)
Book value 1/1 7,380,579 379,518 12,522,946 20,283,043
Exchange differences 357,806 35,837 195,198 588,841
Purchased in 2002 5,881,669 108,864 10,016,171 16,006,704
Sold in 2002 (102,399) (77,088) (3,601) (183,088)
Depreciated 2002 (564,029) (142,061) (2,221,500) (2,927,590)
Book value 31/12 12,953,626 305,070 20,509,214 33,767,910
The insurance value of tangible assets at the end of year is GBP 95.7 million.
Figures in GBP

Notes to the Consolidated Financial Statements
5.
Depreciation
6.
Depreciation of intangible assets note 3 486,239
Depreciation of fixed tangible assets note 4 2,927,590
3,413,829
Shareholdings
Par value Book value
Shares in associates:
Pesquera Isla Del Rey in Chile 42.07% share 468,648
468,648
53
Shareholdings in other companies:
Roskilde Bank 1,755 14,604
Búnadarbanki Íslands hf 29 54
SÍF hf. 451 451
Frumherji hf. 183 183
Fiskmarkadur Sudurnesja hf. 141 141
Fiskmarkadur Íslands hf. 258 258
15,691
7.
Inventories
Insurance value of goods at the end of year is GBP 13 million.
8.
Equity
Capital stock is registered in Icelandic króna and is 1,521,054,749 Icelandic króna as required by the articles of association.
At the end of year, the company’s own shares amounted to 1,154,000 Icelandic króna.
Total capital stock at end of year according to the annual accounts was GBP 10,191,058 as follows.
Total capital stock 10,198,793
Own shares (7,735)
10,191,058
Equity is further differentiated as follows:
Capital stock Reserve Other Total
fund equity
Balance brought forward 10,151,980 35,757,055 1,002,801 46,911,836
New capital stock 39,078 226,653 265,731
Exchange rate adjustments 491,554 491,554
Net income 10,941,491 10,941,491
10,191,058 35,983,708 12,435,846 58,610,612

Notes to the Consolidated Financial Statements
9.
Subordinated convertible loan
A subordinated convertible loan is owed to financing institutions. The loan is in GBP, with the balance amounting to
GBP 15,923,077 at year-end 2002. The loan is payable in 2009. In 2001-2005, the lenders can convert the loan to share
capital, at a rate of 20% of the loan’s principal each year.
54
10. Deferred income tax liability
Changes in the tax liability during the year are as follows:
Income tax liability at the beginning of 2002 720,786
Exchange rate adjustments (19,249)
Income tax levied in 2003 (3,092,752)
Computed income tax for the year 2002 4,061,937
Income tax liability at the end of year 1,670,722
11.
Long-term liabilities
Long-term liabilities are as follows:
Indexation and denomination
GBP 69,855,874
EUR 273,260
USD 85,598
CHF 32,709
JPY 27,941
70,275,382
Annual maturities on the company’s long-term liabilities were as follows:
2003 8,690,543
2004 11,156,880
2005 11,093,505
2006 12,531,735
2007 12,502,719
2008 14,300,000
70,275,382
12. Taxes
Taxes on taxable income to be paid in 2003 have been calculated and entered in the annual accounts and amount
to GBP 1.6 million. Pre-paid taxes have been deducted in the balance sheet.
Figures in GBP

Notes to the Consolidated Financial Statements
13. Mortgages and commitments
According to a loan agreement with Bank of Scotland, all the company’s fixed assets, including shares in subsidiaries,
and the company’s liquid assets, including stocks and receivables, are put up as security for the company’s debts to the
bank at any given time. The balance of the debt amounted to GBP 74.8 million at year-end.
14. Financial expenses
55
Financial expenses are as follows:
2002 2001
Interest income and exchange rate adjustments 1,477,088 389,423
Interest expenses and exchange rate adjustments (5,433,781) (1,489,383)
Calculated inflation adjustment 0 415,869
(3,956,693) (684,091)
15. Loss on discontinuance of Bakkavör Polska
The operations of the subsidiary Bakkavör Polska have now been ceased. This decision was a result of the extremely
difficult situation in the Polish food market and the fact that the nature of operations was no longer compatible with the
Group’s strategy. Cost of settling all outstanding claims with suppliers and other creditors in Bakkavör Polska, including
redundancy payments to the entire staff amounted to GBP 433,000.
16. Other matters
The company has purchased a work stoppage insurance to the amount of GBP 62.5 million.
The company has made rental agreements in the United Kingdom and Denmark, with the remaining period being up to 24 years.
Payroll and related expenses
2002 2001
Payroll 32,426,323 4,925,269
Related expenses 6,485,265 982,035
38,911,588 5,907,304
Average number of employees (full time equivalent) 1934 408
Salaries paid to the Group management amounted to GBP 661,000.

Bakkavör Group hf.
Ársreikningur 2002
íslenskur útdráttur

Rekstrarreikningur ársins 2002
2002 2001
58
Rekstrartekjur
Seldar afur›ir 18.269.012.662 6.105.439.102
A›rar rekstrartekjur 17.646.731 8.938.704
18.286.659.393 6.114.377.806
Rekstrargjöld
Framlei›slukostna›ur 12.229.085.914 4.458.787.646
Annar rekstrarkostna›ur 2.937.687.677 719.027.305
Afskriftir 466.977.669 301.591.685
15.633.751.260 5.479.406.636
Rekstrarhagna›ur 2.652.908.133 634.971.170
Fjármunatekjur og (fjármagnsgjöld) samtals (541.236.036) (101.929.599)
Hagna›ur fyrir skatta 2.111.672.097 533.041.571
Tekjuskattur
Tekjuskattur (555.632.362) (151.471.930)
Hagna›ur af reglulegri starfsemi 1.556.039.735 381.569.649
Aflag›ur rekstrarfláttur Bakkavör Polska (59.353.181) 0
Hagna›ur 1.496.686.554 381.569.649
Fjárhæ›ir í íslenskum krónum

Efnahagsreikningur 31. desember 2002
Eignir
Fastafjármunir
31. 12. 2002 31. 12. 2001
Óefnislegar eignir
Langtímakostna›ur 51.474.624 84.308.881
Vi›skiptavild 14.014.464.480 15.306.593.784
14.065.939.104 15.390.902.665
Varanlegir rekstrarfjármunir
Fasteignir 1.771.926.501 1.099.706.239
Flutningatæki 41.730.525 56.548.143
Vélar og áhöld 2.805.455.383 1.865.918.968
4.619.112.409 3.022.173.350
Áhættufjármunir og langtímakröfur
Eignarhlutar í hlutdeildarfélögum 64.106.360 83.534.022
Eignarhlutir í ö›rum félögum 2.146.372 162.183
66.252.732 83.696.205
59
Fastafjármunir 18.751.304.245 18.496.772.220
Veltufjármunir
Vörubirg›ir
Hráefni og umbú›ir 1.346.284.171 1.169.228.966
Afur›ir 265.149.769 249.462.540
1.611.433.940 1.418.691.506
Skammtímakröfur
Vi›skiptakröfur 2.563.772.349 2.302.856.661
A›rar skammtímakröfur 604.756.250 443.027.485
3.168.528.599 2.745.884.146
Handbært fé
Bankainnstæ›ur 188.796.737 1.230.347.209
188.796.737 1.230.347.209
Veltufjármunir 4.968.759.276 5.394.922.861
Eignir 23.720.063.521 23.891.695.081

Efnahagsreikningur 31. desember 2002
Eigið fé og skuldir
31. 12. 2002 31. 12. 2001
60
Eigið fé
Hlutafé 1.394.034.824 1.514.676.002
Varasjó›ur 4.922.211.417 5.334.954.663
Anna› eigi› fé 1.701.099.374 149.617.972
Eigi› fé 8.017.345.615 6.999.248.637
Víkjandi breytanlegt lán 2.178.117.703 2.375.723.088
Skuldbindingar
Tekjuskattsskuldbinding 228.538.063 107.397.130
Skuldbindingar 228.538.063 107.397.130
Skuldir
Langtímaskuldir
Lán vi› bankastofnanir 9.612.969.504 11.301.154.195
9.612.969.504 11.301.154.195
Næsta árs afborganir (1.188.779.377) (717.430.267)
8.424.190.127 10.583.723.928
Skammtímaskuldir
Næsta árs afborganir langtímaskulda 1.188.779.377 717.430.267
Skuldir vi› lánastofnanir 739.895.332 840.906.344
Reikna›ir skattar ársins 214.590.133 436.416.575
A›rar skammtímaskuldir 2.728.607.171 1.830.849.112
4.871.872.013 3.825.602.298
Skuldir og skuldbindingar 13.524.600.203 14.516.723.356
Eigi› fé og skuldir 23.720.063.521 23.891.695.081
Fjárhæ›ir í íslenskum krónum

Sjóðstreymi ársins 2002
2002 2001
Rekstrarhreyfingur
Hagna›ur ársins 1.496.686.554 381.569.641
Rekstrarli›ir sem ekki hafa áhrif á fjárstreymi
Afskriftir 466.977.669 301.591.685
Ver›breytingafærsla 0 (61.964.255)
Ver›bætur og gengismunur (4.084.823) 22.642.329
Söluhagna›ur (2.597.505) 4.205.696
Tekjuskattsskuldbinding-breyting 132.574.816 (25.216.249)
Hlutdeild í hagna›i hlutdeildarfélaga (201.629) (5.896.552)
Veltufé frá rekstri 2.089.355.082 616.932.295
61
Breytingar á rekstrartengdum eignum og skuldum
Vörubirg›ir (166.901.583) 284.393.968
Skammtímakröfur (520.896.046) (616.079.364)
Skammtímaskuldir 462.794.494 (203.048.081)
Handbært fé frá rekstri 1.864.351.947 82.198.818
Fjárfestingahreyfingar
Fastafjármunir (2.172.118.367) (246.122.326)
Hlutabréf 0 (17.079.861.430)
Fjárfestingahreyfingar (2.172.118.367) (17.325.983.756)
Fjármögnunarhreyfingar
Skuldir vi› lánastofnanir (35.952.242) (1.139.366.713)
N‡jar langtímaskuldir 0 11.564.246.136
Víkjandi lán 0 2.375.723.088
Afborganir langtímaskulda (633.903.463) (1.179.794.604)
Greiddur ar›ur 0 (99.663.182)
Innborga› hlutafé 36.349.343 5.849.250.445
Fjármögnunarhreyfingar (633.506.362) 17.370.395.170
(Lækkun) hækkun handbærs fjár (941.272.782) 126.610.232
Handbært fé frá keyptum félögum 0 778.332.679
Handbært fé í upphafi árs 1.130.069.519 325.404.298
Handbært fé í lok tímabils 188.796.737 1.230.347.209