Allocation of SPP surplus funds to Cardo group companies

10/27/1999 10:04 AM EST

According to information received, SPP has allocated SEK 73.6 million of its
surplus funds to the Cardo group's companies.

According to information from SPP, the implementation of the decision is
conditional upon it not contravening regulations relating to competition
legislation.

In view of the uncertainty relating to their utilization and in the light of
the Swedish Financial Accounting Standards Council's recommendation regarding
computation of the present value of the funds allocated, they will probably be
reported at an amount lower than that specified above.

Malmö, Sweden, October 27 1999

Cardo AB (publ)

For further information, please contact:
Sven-Erik Persson, Executive Vice President, phone +46 40 35 04 50, +46 40 35
04 00
Christer Roskvist, Head of Public Relations, phone +46 40 35 04 25, +46 40 35
04 00

Cardo is an international engineering group with a turnover of more than SEK 9
billion. Cardo holds a strong position in the markets for doors, pumps and
rail-vehicle brake systems. Cardo has subsidiaries in about 30 countries with
the focal point resting in western Europe, and roughly 7,400 employees.