Note 34 – Significant events after balance sheet date

After the end of the financial year the Board of Directors of BE Group has made a decision to restructure the businesses in Czech Republic and Slovakia. The market in Czech Republic and Slovakia has for a number of years developed negatively and the company has continued to be lossmaking despite several measures taken to reach profitability. The turnover in these markets were SEK 382 M during 2015 and the operating result amounted to SEK -32 M including non-recurring items of SEK -20 M.

Against this background and the prevailing weak market outlook BE Group has decided to close down the business in Slovakia and stop selling flat carbon steel and aluminum on the Czech market. The one-time cost is estimated at SEK 45 M of which SEK 10 M affects the cash-flow. The cost will impact the result for 2016. An updated assessment will be given when the result for the first quarter 2016 is published.

The profitable business in Prerov, Czech Republic, who successfully provides the market with cutted round bar is not affected by the decision.

No other significant events have taken place after the end of the period.