Expanda Design Group acquires BCI of Denmark to become the world leader
in furniture and equipment for libraries

Expanda Design Group is a leading player in the global market for
library furniture and equipment through its subsidiary, Eurobib AB.
Eurobib AB (previously BTJ Produkter AB), which was acquired by Expanda
two years ago, is based in Lund and had sales in 2001 of SEK 102 million
and an operating profit of SEK 2.9 million. Sales in 2002 are expected
to reach SEK 125 million with an operating profit of around SEK 7
million. Exports account for 65% of sales. Eurobib has subsidiaries in
Belgium, Denmark, Norway and the US.

Expanda AB has now reached an agreement with the listed Danish company,
ITH Industri Invest A/S, concerning the acquisition of ITH's subsidiary,
BCI A/S, which is active in the same market segment as Eurobib. Eurobib
and BCI are the predominant international brands in this segment. BCI
had sales of SEK 145 million and an operating profit of SEK 9.5 million
in 2001, and figures for 2002 are expected to reach the same level. BCI
has its head office in Holsted, Jylland. Exports account for 70% of
sales. BCI has subsidiaries in France, Spain, Holland, Norway and the
US.

By acquiring BCI, Expanda is securing a strong position in the market.
Combined Eurobib and BCI will be the clear leader for library furniture
and equipment. Other suppliers in this segment are primarily local
players on national markets. No other company has the same global
operation as Eurobib/BCI, which will be the largest player in most
European countries and the Middle East. Global market share will be
around 20%.

By co-ordinating activities in Eurobib and BCI, significant synergies
can be achieved in the long-term in all areas - markets, products,
production, design, storage, logistics, and administration. A programme
of measures will be planned and implemented during the second half of
2002 to achieve these synergies.

Expanda's acquisition of BCI will be completed on 1 July 2002. The
purchase price is equivalent to SEK 75 million and will be financed by
borrowing. The size of the purchase price may be adjusted depending on
results for the first half of 2002 and the completion of due diligence.
A positive financial yield from the deal is expected in 2002, although
the main benefits will come in 2003 and onward as the synergies pay off
and the two companies' marketing and product development resources are
fully exploited. The deal is expected to boost profits by above SEK 10
million next year. Expanda's equity/assets ratio, which...