Swedish Match sells Stockholm Headquarters

12/21/1998 8:16 AM EST

to Nordisk Renting for SEK 725


Nordisk Renting acquired Swedish Match's Corporate headquarters in Stockholm
on December 21, 1998, and at the same time entered into a long-term leasing
agreement for the entire property.


The divestment will result in a capital gain of SEK 267 M for Swedish Match.


The sale of the property is part of Swedish Match's strategy of preparing
itself to play an active part in suitable structural transactions in the
tobacco industry.


The property, the building of which began in the 1920s, originally housed the
only modern tobacco factory and raw tobacco warehouse in the Stockholm region.
Since then, the property has been successively converted and extended and
today it is a high-class, modern office property. The freehold site comprises
an entire block of 19,000 square meters bounded by Rosenlundsgatan, Maria
Bangata and Maria Skolgata. Included with the property are development rights
for approximately 6,000 square meters. The buildings have a leasable area of
slightly more than 44,000 square meters, as well as 110 garage parking spaces.


This property acquisition is an element in Nordisk Renting's strategy of
acquiring properties for long-term lease to financially strong parties.


Swedish Match is an international group with headquarters in Stockholm,

Sweden. The company manufactures a broad range of tobacco products, matches
and disposable lighters which are sold in approximately 140 countries. Annual
sales in 1997 amounted to approximately 7,500 MSEK. Swedish Match is listed on

Stockholm Stock Exchange and on NASDAQ.


Nordisk Renting is one of Sweden's largest property companies. Its business
2comprises a total of 270 properties with a floor area of 2.8 million m in
Sweden, Norway, Denmark, Holland, Germany and Switzerland. Nordisk Renting
acquires and develops properties for long-term leasing and is responsible for
management, administration and financial management of a property portfolio
worth a total of approximately SEK 22 billion.

The Nordisk Renting Group's earnings amounted to SEK 267 M in 1997 and are
expected to amount to SEK 350 M in 1998.

th
Nordisk renting is owned by MeritaNordbanken (40%), Atle AB (35%) and 6 AP
Fund (25%).
For further information, please contact:


Swedish Match AB

Sven Hindrikes, Senior Vice President & Chief Financial Officer,
+46 8-658 02 82
Bo Aulin, Senior Vice President, Corporate Affairs,
+46 8-658 03 64
Boel Sundvall, Vice President, Investor Relations,
+46 8-658 01 73


Nordisk Renting AB
Göte Dahlin, President, +46 8-670 98 00
Åke von Ajkay, Director, +46 8-670 98 00