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Objectives

HARDWOOD DIVISION

The division intends to consolidate its global market position through profitable growth in the sales countries, supported by the continued expansion of its position in the supply regions. Such consolidation includes strategic investments in forest concessions, sawmills and other processing plants as well as committed co-operation with local suppliers with a view to increasing the raw materials supplies and strengthen the environmental safety. The division aims to become a market leader in FSC certified tropical hardwood.

TIMBER & BOARD DIVISION

For the past few years the Timber & Board Division has been enhancing the efficiency of its operations and improving its use of capital considerably. This improvement must be sustained and accelerated. Based on the improved business base in Scandinavia the division intends to focus on continued profitable growth in both Northern Europe and the USA. This will take place by means of increased sales through distributors and direct sales to the industry. In addition, the Timber & Board Division will focus on expanding the supply sources in Asia and South America.

FINANCIAL OBJECTIVES

Through profitable growth, organic as well as by acquisition, and the effective exploitation of the capital invested, DLH aims to create financial results that will secure shareholders a satisfactory return on their investments. In the light of the improvement in the results in recent years and the result potential inherent in the latest acquisitions, the group has set itself new and higher financial targets for 2006.