Gross operating earnings in the third quarter were NOK 365
million, compared to NOK 393 million in the previous quarter. The weak markets
in Europe and Australasia were offset by lower variable- and fixed costs and
effective production adjustments. Despite very challenging markets, we have been able to
implement effective production adjustments, considerable cost reductions and a
significant debt reduction this year, says President and CEO in Norske Skog,
Sven Ombudstvedt. Cash flow from operating activities (before financial items) was
NOK 550 million, an improvement of NOK 162 million from the same quarter last
year. The good cash flow for the period was a result of an effective realisation
of trade receivables and reduction of inventories.
