• Net operating income increased to SEK 348m (344), despite a fall in rental income to SEK 548m (561) due to net sales of properties

• The surplus ratio increased to 64 per cent (61)

• Earnings from property management activities grew by 10 per cent to SEK 148m (135)

• The loss after changes in value and tax was SEK -81m (388) and earnings per share after dilution were SEK -0.49 (2.28)

• Equity per share was SEK 57 (60)

“By squeezing costs and streamlining our organisation, we improved the surplus ratio by 3 percentage points in the first quarter. The profit from property management activities increased by 10 per cent despite a smaller portfolio and one-off charges to financial items of about SEK 40m. The result from property management activities is thereby the strongest since operations were concentrated to Stockholm,” Christian Hermelin, Fabege’s CEO, says.

“Low vacancies, stable revenues and a strong cost focus have boosted earnings from property management activities. The economic downturn is becoming more apparent but with interest rates moving in a direction that is favourable for Fabege, good access to capital and a portfolio of well located and attractive properties, I feel confident about the rest of 2009,” Christian Hermelin adds.

Fabege AB (publ)

Enclosed: Interim Report January-March 2009