JM AB INTERIM REPORT 1 JANUARY 30 SEPTEMBER 2000

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JM AB is a public limited company with its registered office in Stockholm. Company registration number 556045-2103.

JM AB

INTERIM REPORT

1 JANUARY – 30 SEPTEMBER 2000

SUMMARY JANUARY – SEPTEMBER 2000

• Net sales rose 16 per cent to MSEK 4,755 (4,088) and profit after financial items more

than doubled to MSEK 973 (461).

• Over the past 12-month period, return on equity was 24 per cent and earnings per

share amounted to SEK 24.

• Profit in project development including project-related property sales increased by 102

per cent to MSEK 420 (208) and the margin improved to 9.9 (5.9) per cent.

• The period’s property sales amounted to MSEK 2,100 (1,510) and provided a gain of

MSEK 510 (278).

MSEK January - September Full year

2000 1999 1999

Net sales 4,755 4,088 5,825

Costs for production and management -3,812 -3,316 -4,770

Gross profit 943 772 1,055

Selling and administration costs -339 -314 -395

Gains on the sale of operations 30 -

-Gains on the sale of properties 510 278 330

Surplus funds from SPP 78 -

-Operating profit 1,222 736 990

Net financial items -249 -275 -356

Profit after financial items 973 461 634

Tax -275 -131 -193

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PROFIT

The JM Group’s profit after financial items for the period January – September 2000 was MSEK 973 (461), including gains of 510 (278) MSEK on the sale of fully developed management properties. The period’s profit also included MSEK 78 comprising the total allocation of surplus funds from SPP.

Profit in project development rose 102 per cent to MSEK 420 (208) and the margin strengthened to 9.9 (5.9) per cent. Both profit and the margin included gains of MSEK 61 on property sales that are directly attributable to project development. In the future, property sales of this type will cause a certain irregularity in the margin.

Net financial items improved by MSEK 26 to MSEK -249 (-275).

The period’s net profit amounted to MSEK 698 (330) after tax of MSEK 275 (131).

The Group’s return on equity over the past 12-month period was 24 per cent and average return over the past five calendar years was 13 per cent. The Group’s target is a return of 15 per cent over the course of a business cycle. Earnings per share over the past 12-month period amounted to SEK 24.

BUSINESS UNIT STOCKHOLM RESIDENTIAL Profit

Profit in Stockholm Residential for the period January – September amounted to MSEK 274 (140), and included gains of MSEK 41 (0) on the sale of project-related properties. The margin was 14.1 (10.8) per cent and return on operating capital was 21.9 (15.9) per cent. Net sales totalled MSEK 1,653 (1,301), which represented an increase of 27 per cent.

2000 1999 1999

Net sales 1,653 1,301 1,658

Gross profit 233 140 180

Property sales 41 -

-Profit inStockholm Residential 274 140 180

Key ratios

Margin(%) 14.1 10.8 10.9

Operating capital *)

1,665 1,175 1,263

Return on operating capital (%) **)

21.9 15.9 14.3

Order bookings 2,488 1,482 1,958

Order backlog(30 September) 2,284 1,337 1,357

No. of employees (30 September) 550 489 441

*) average **) annualized

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The housing market

Demand for housing in the greater Stockholm area remains intense. For several years the annual population influx has been around 20,000 residents, while the number of housing starts has been only around 3,000 per year. Powerful demand and short supply have caused a sharp rise in prices, primarily in the inner-city. Since JM has several exceptionally well situated projects where construction is scheduled to begin during the coming year, we anticipate continued strong earnings growth.

Acquisitions and sales

JM has some 13,000 building rights in the Stockholm area, of which around 4,000 are located within 5 km from downtown. During the first three quarters of the year land was acquired in 12 different projects with a total of 1,800 building rights. Of these 1,100 are located in Gustavsberg, where JM acquired 1,550 hectares of land and several centrally located existing properties via an exchange transaction in the first half of the year. The pace of project development in the area is high with regard to both development of building rights, e.g. in the harbour area, and the sale of fully developed properties that were included in the acquisition.

Other major project acquisitions during the year are Silverdal in the Margreteborg section of Sollentuna, with plans for 250 residential units, and two properties on western Kungsholmen, which aside from commercial space may be developed with more than 500 residential units. In the third quarter properties were sold for a total of MSEK 169, providing a capital gain of MSEK 41. The sales consisted primarily of properties in Gustavsberg.

The period’s net investments in development land and project properties totalled MSEK –100 (355), after which the business unit’s holdings amount to MSEK 1,810 (1,828).

Project status and sales

The number of housing starts in the business area during the first three quarters of the year was 1,100 (900). The most significant projects started during the year are Hammarby Sjö (160 units in phase 1), Daggkåpan (220 units) and Vallgossen on central Kungsholmen (120 units). Major projects for construction of detached homes are underway in Åkersberga and in Värmdövik, where the first full-scale “intelligent home” was inaugurated in September and has aroused keen interest. In addition, three large-scale conversion projects at Essinge Udde (70 units),

Mälarklippan by Gröndal (130 units) and Långbro Park (70 units) are in progress.

Though time-consuming, the planning processes are proceeding largely according to plan. In 2001 we plan to commence the major new construction projects Liljeholmstorget,

Liljeholmskajen (part of Årstadal/Sjövik), Essinge Udde, Bolinder Strand in Järfälla and Långbro Park, in addition to a number of smaller projects.

Contracts for the sale of 575(540) residential units were signed during the period. Demand is exceptionally strong and housing sales/advance options have continued to develop favourably. Some 1,500 residential units are scheduled for production during 2000 and this number is expected to rise to 2,500 within a few years. JM has secured resources for this expansion.

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BUSINESS UNIT SWEDEN Profit

Business unit Sweden (i.e. all of Sweden except for Stockholm) posted a profit of MSEK 76 (41) for the period January – September 2000. The margin was 6.4 (3.9) per cent and return on

operating capital was 16.8 (18.8) per cent. Net sales totalled MSEK 1,188 (1,051), up 13 per cent on the year-earlier figure.

2000 1999 1999

Net sales 1,188 1,051 1,562

Costs for production and management -1,048 -952 -1,420

Profit in business unit Sweden 76 41 72

Key ratios

Margin (%) 6.4 3.9 4.6

Operating capital *) ₆₀₄ ₂₉₁ ₃₃₃

Return on operating capital (%)**)_16.8 _18.8 _21.6

Order bookings 1,169 1,179 1,647

Order backlog (30 September) 1,135 1,124 1,105

No. of employees(30 September) 569 493 511

The housing market

The housing market has continued to develop favourably in all of the business unit’s regions and demand for housing is strong, with rising prices throughout the period. This applies particularly to Uppsala, where many newly established biotech companies are boosting growth in the region.

Acquisitions

The period’s acquisitions included a centrally located property in Uppsala for conversion into 300 residential units. In addition, a collaboration agreement has been signed for development of approx. 60,000 sq.m. of commercial space on behalf of AP Fastigheter. According to the

agreement, JM will also develop a residential area for around 200 detached homes in Uppsala. In the first nine months of the year decisions were made to acquire development properties for around 850 residential units. The period’s net investments in development land and project

properties totalled MSEK 179 (-1), after which the business unit’s holdings amount to MSEK 579 (334) and the number of building rights to around 8,000.

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Project status and sales

A decision was made during the period to commence production of close to 700 residential units within the business area. A major residential project with more than 150 units is underway on northern Älvstranden in Gothenburg, and along the docks in Marstrand tenants have occupied the first of five phases of a residential development with the character of a rustic fishing village. A total of 444 (610) residential units were sold during the period.

BUSINESS UNIT STOCKHOLM COMMERCIAL Profit

The business unit’s profit for the period January – September 2000 was MSEK 96 (43), including a gain of MSEK 30 (0) on the sale of operations in JM Maskinservice. Return on operating capital was 7.0 (5.6) per cent. Net sales amounted to MSEK 1,122 (934), an increase of 20 per cent. The business unit’s net sales include rental revenue of MSEK 77 (55) from

management properties. Other net sales are attributable to contracting operations, including production related to management properties under construction. The business unit’s profit includes an operating net of MSEK 48 (33) from property management. Although the business area’s project development has not yet resulted in any sales, this will take place within the next few years.

MSEK January – September Full year

2000 1999 1999

Net sales 1,122 934 1,470

Costs for production and management -982 -831 -1,305

Gross profit 66 43 87

-Profit in Stockholm Commercial 96 43 87

Key ratios

Margin(%) 5.9 4.6 5.9

Operating capital *)

1,835 1,030 1,178

Return on operating capital (%)**) _7.0 _5.6 _7.4

Order bookings 1,275 936 1,314

Order backlog (30 September) 1,026 641 623

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The market

Demand for office space in the Stockholm area remains intense and has triggered a considerable increase in rents. During the period, JM signed rental contracts for a total of 4,000 sq.m. in its Kortbyrån property on Vasagatan at a level of SEK 4,500 per sq.m. This rental trend indicates a higher attractiveness for this section of downtown Stockholm.

Investments

JM is carrying out a number of large-scale projects in the greater Stockholm area. At year-end 2000, JM will complete one of Sweden’s largest hotels, Nordic Hotel, with a total of 550 rooms on Vasagatan adjacent to Stockholm Central Station and the Arlanda Express Terminal.

In the Frösunda area of Solna, by JM’s new head office, construction of an additional 10,000 sq.m. of office space has been started and is scheduled for completion in 2001. Some 4,600 sq.m. of office space are undergoing remodelling in JM’s portfolio at Mörby Centrum.

The period’s investments in existing properties totalled MSEK 276.

Acquisitions

During the period, JM signed an agreement with the city of Stockholm to acquire the

Lustgården 6 property on Västra Kungsholmen for MSEK 262, with transfer of ownership and payment in June 2001. Detail plans are expected to be completed in autumn 2001, after which construction of 35.000 sq.m. of offices and possibly also residential space can commence.

Future projects

The business unit has building rights for future development of commercial premises corresponding to more than 200,000 sq.m. The most significant projects are:

Västra Kungsholmen, Stockholm 35,000 sq.m.

Sjövik, Liljeholmstorget, Stockholm 37,000 sq.m.

Frösunda, Solna 50,000 sq.m.

Bergshamra Solna 13,000 sq.m.

Silverdal, Sollentuna 50,000 sq.m.

Centrum, Sollentuna 15,000 sq.m.

Sickla Allé, Nacka 11,000 sq.m.

In addition, planning is underway for remodelling of two large management projects near Hötorget in downtown Stockholm, the Adam och Eva and Beridarebanan properties, with a planned start in 2002.

Contracting

JM’s contracting operations are conducted within the units JM Entreprenad, JM Anläggning, Timblads Måleri and Projektgaranti, and are strategic resources for JM’s project development. The contracting unit accepts assignments from both within and outside the company. Its most significant assignments at present are conversion and new construction of offices on the Jericho block of downtown Stockholm and conversion of Terminal 5 at Arlanda airport on behalf of Diligentia and the Civil Aviation Authority, respectively, as well as internal assignments related to the hotel on Vasagatan and office buildings in Frösunda.

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BUSINESS UNIT BUSINESS DEVELOPMENT/REAL ESTATE Profit

The business unit’s profit for the period January – September 2000 was MSEK 688 (556), of which gains on the sale of properties accounted for MSEK 449 (278). The period’s profit in property management after planned depreciation and before selling and administration costs amounted to MSEK 277 (322). The decrease in earnings is attributable to the sale of fully developed properties during 1999, primarily the Skåne portfolio with 272,000 sq.m. of

commercial space. Profit was charged with depreciation of MSEK 35 (57) and property tax of MSEK 23 (25). The period’s rental revenue including interest subsidies of MSEK 9 (25) totalled MSEK 426 (519). Return on operating capital was 18.4 (13.5) per cent.

The vacancy rate at the end of the period corresponded to 2 (3) per cent of annual rents and 2 (4) per cent of total floor space.

Total rentable space at the end of the third quarter amounted to 415,000 (592,000) sq.m.

2000 1999 1999

Net sales 426 527 668

Costs for production and management -149 -198 -255

Gross profit 239 278 365

Property sales 449 278 330

Profit in Business Development/Real Estate 688 556 695

Key ratios

Margin (%) 56.1 52.8 54.6

Operating capital *) _4,991 _5,509 _5,413

Property Management

Low vacancies and persistent strong demand for attractively located office space in the greater Stockholm area has provided opportunities to sign agreements at considerably higher rent levels. The completion of Stockholm’s largest hotel on Vasagatan will further enhance the area’s attractiveness. JM owns several properties in the area along Vasagatan with a combined floor space of 65,000 sq.m.

In the Mörby section of Danderyd, JM has completed upgrading of the external environment and rebuilding of entrances. This has increased the area’s attractiveness to office tenants and rental contracts have been signed at a level of SEK 2,600 per sq.m. JM owns a large contiguous portfolio of office properties in the Mörby area with around 55,000 sq.m. of floor space.

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Rental agreements at a level of SEK 2,500 per sq.m. have also been signed in the Frösunda area of Solna, where JM owns properties with a combined floor space of 24,000 sq.m.

The area surrounding Medborgarplatsen in the Södermalm section of Stockholm has become increasingly interesting as a location for offices. JM owns a property in the area with total rentable space of 20,000 sq.m. in which contracts have been signed at levels of close to SEK 3,000 per sq.m.

Over 95 per cent of JM’s property holdings are located in the greater Stockholm area.

The period’s investments in existing properties amounted to MSEK 138 and one property was acquired for MSEK 59.

Property management, JM total

The JM Group’s management properties are found mainly in the Business Development/Real Estate and Stockholm Commercial business units.

JM’s rental revenue from property management totalled MSEK 510 (575), including interest subsidies of MSEK 9 (25). Profit in property management before planned depreciations and before selling and administration costs amounted to MSEK 373 (420). The period’s investments in existing management properties totalled MSEK 541 (217) and management properties were acquired for MSEK 69 (9).

Sales of management properties

Today JM is a project developer of residential and office properties. Among other things, this means that we aim for rapid turnover of fully developed properties.

In the first nine months of 2000, JM sold properties for around MSEK 2,100 (1,521) with a capital gain of MSEK 510 (278). Of this total, the business unit contributed MSEK 1,784 (1,521) with a capital gain of MSEK 449 (278).

The period’s most significant transactions were the sale of the Träskfloden 15 property by Jarlaplan in Stockholm (MSEK 401), the exchange with Gyllenforsen Fastigheter (MSEK 339), liquidation of the remaining properties in Gothenburg and Skåne (MSEK 87), and the sale of the Hägern Större 16 property on Drottninggatan in Stockholm (MSEK 385), the 50%-owned Star Hotell in Sollentuna (MSEK 95) and residential properties in the Stockholm area (MSEK 620).

AB Borätt and Seniorgården AB

Within the framework of its subsidiary Seniorgården AB, JM develops various types of senior living solutions with an emphasis on beautifully designed housing in attractive locations. Seniorgården AB and AB Borätt are strategic resources with separate brands for residential project development, primarily in metropolitan areas.

Business development

JM has launched the “intelligent homes” project with a focus on development of new technological solutions in JM’s homes and offices.

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JM is currently building some of Sweden’s first “intelligent homes” – apartments on the

Vallgossen block of Kungsholmen and detached homes in Hagaberg on Värmdö, where state-of-the-art IT solutions are being harmonized with good architecture and environmental awareness. In September of this year, the first intelligent home on Värmdö was completed for occupancy. Now the main focus is on packaging a number of “smart living products” to be offered as standard features or selected as options in all new projects. The smart living concept is based on the idea that we can use modern technology to enhance comfort, convenience and security in our homes and offices. The concept is not designed to appeal only to the young and technologically savvy generation, but is also intended to make living at home easier for seniors and the disabled.

BUSINESS UNIT INTERNATIONAL Profit

The business unit’s profit for the period January – September 2000 was MSEK 52 (17), including gains of MSEK 20 (0) on the sale of a newly developed office property in Brussels. Net sales amounted to MSEK 537 (383), an increase of 40 per cent. The margin was 6.0 (4.4) per cent and return on operating capital was 11.6 (5.7) per cent.

MSEK January – September Full year

2000 1999 1999

Net sales 537 383 627

Costs for production and management -478 -343 -554

Gross profit 32 17 33

Property sales 20 -

-Profit in business unit International 52 17 33

Key ratios

Margin (%) 6.0 4.4 5.3

Operating capital *) ₅₉₉ ₃₉₈ ₄₃₃

Order bookings 632 495 962

Order backlog (30 September) 836 522 734

*) average

**) annualized – return was adversely affected by operations in Portugal, which are being wound up.

Norway

The Norwegian housing market has been characterized by strong demand throughout the year and housing prices have risen by an average of 10 per cent. Recently price growth has stagnated somewhat, which is partly attributable to normal seasonal variations but is also an effect of rising interest rates and uncertainty about the future interest trend. However, the market is expected to remain strong in our area of operations.

Byggholt and Projektfinans commenced construction of 440 (330) residential units and sold 400 (270) during the period. Agreements were signed to acquire land for more than 1,000 residential units. The portfolio of building rights includes a total of 3,900 residential units.

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Denmark

The housing market in Copenhagen has entered a relatively stable period. Demand for JM Denmark’s housing has been strong.

The company now owns development land for a total of MSEK 16 and currently controls land for around 750 residential units via acquisitions and agreements. Housing sales are underway in two projects with a total of 62 units and around one third have now been sold. Production of 41 residential units in JM’s first project in Denmark is proceeding as planned and a decision has been made to begin construction of an additional 37 units.

Belgium

There is a keen demand for high-quality housing in Brussels. The residential project started by JM during the first quarter is progressing according to plan and we have noted strong interest in the project even before the units are offered for sale in November.

During the period JM sold an office property with a return on investment exceeding 20 per cent. The property was acquired in spring 1999 for development, rental and divestment.

The business unit’s combined holdings of development properties amount to MSEK 243 (164). As a result of our analysis of the housing market in Helsinki, Finland, under the prevailing market conditions we have decided not to establish operations in Finland.

FINANCE OPERATIONS

Net financial items and debt/equity ratio

Net financial items for the period January – September showed a deficit of MSEK 249 (-275), an improvement of MSEK 26 over the year-earlier period that was mainly attributable to a lower average interest expense on net debt. Net financial items also include a capital gain of more than MSEK 4 on the sale of shares in OM-Gruppen.

On 30 September 2000, JM’s interest-bearing net debt amounted to MSEK 5,543 (5,353). The change is attributable to increased borrowing in our foreign subsidiaries for acquisition of development properties and financing of production in commercial properties. Total interest-bearing loans at the end of the period amounted to MSEK 5,867 (5,576), of which MSEK 371 (352) comprised PRI pension liabilities.

On 30 September 2000, the average interest rate on the total loan stock was 5.8 (5.8) per cent. The average fixed interest period for the Group’s combined loan stock excluding PRI pension liabilities was 1.6 (1.8) years. The debt/equity ratio on 30 September 2000 was 1.5 (1.8).

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Liquidity and loan structure

The Group’s disposable liquidity on 30 September 2000 amounted to MSEK 2,211 (896). Aside from liquid assets of MSEK 280 (181), this includes unutilized overdraft facilities and credit lines of MSEK 1,931 (715). At year-end 1999, disposable liquid assets totalled MSEK 1,116 (1,119).

Year for interest rate conversion, loan amount and average interest on interest-bearing loans as per 30 September 2000:

Loan amount (MSEK) Average interest (%)

Year 2000 1,046 5.6 2001 1,781 6.0 2002 1,314 5.9 2003 744 5.7 2004 - 611 6.1

Total (excl. PRI) 5,496 5.9

PRI 2001 371 4.2

Total (incl. PRI) 5,867 5.8

Finance operations

2000 1999 1999

Interest income, etc. 14 11 14

Interest expense -263 -286 -370

Net financial items -249 -275 -356

Financial key ratios

2000 1999 1999

Interest-bearing net debt 5,543 5,353 5,588

Interest-bearing loans 5,867 5,576 6,014

Average interest on loans (%) 5.8 5.8 5.9

Debt/equity ratio 1.5 1.8 1.8

Equity ratio (%) 32 30 28

Return on equity after tax (%)*)

24.3 13.7 14.8

*)

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PERSONNEL

The number of employees at the end of the period was 2,158 (2,167). The number of

construction workers was 1,156 (1,242) and the number of salaried employees was 1,002 (925).

OWNERSHIP STRUCTURE

The largest shareholders as per 30 September 2000 are listed below. The proportion of foreign ownership has continued to increased dramatically during the year and now exceeds 14 per cent.

% of % of

As per 30 September 2000 shares votes

Skanska Invest AB 26.5 45.1

Nordbanken’s mutual funds and foundations 10.9 8.0

SEB’s mutual funds and foundations

Gamla Livförsäkrings AB SEB Trygg Liv 8.0 6.0

FöreningsSparbanken’s mutual funds 5.7 4.3

Fourth Swedish Pension Insurance Fund 5.4 4.1

Livförsäkrings AB Skandia 3.7 2.8 Försäkringsbolaget SPP, mutual SPP Livförsäkring AB SPP’s mutual funds 2.7 2.0 AMF Pension 2.3 1.7 AMF Försäkrings 1.9 1.4

The Swedish Metal Workers’ Union 1.8 1.4

Apoteket AB’s Pension Fund 1.8 1.3

Foreign shareholders 14.1 10.6

Other shareholders 15.2 11.3

Total 100.0 100.0

Number of shareholders on 30 September 2000: 3,303 Number of shares

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CONDENSED CONSOLIDATED INCOME STATEMENT

MSEK January −−−− September Full year

2000 1999 1999

Net sales 4,755 4,088 5,825

Gross profit 943 772 1,055

-Gains on the sale of properties 510 278 330

SPP – repayment of surplus funds 78 -

-Operating profit 1,222 736 990

Net financial items -249 -275 -356

Profit after financial items 973 461 634

Tax -275 -131 -193

Net profit for the period 698 330 441

CONDENSED CONSOLIDATED BALANCE SHEET

MSEK

30/09/2000 30/09/1999 31/12/1999

Assets

Management properties 5,993 6,057 6,855

Other fixed assets 264 258 300

Development properties 2,725 2,536 2,611

Other current assets 1,882 1,228 894

Liquid assets 280 181 390

Total 11,144 10,260 11,050

Equity and liabilities

Equity 3,618 3,034 3,144

Provisions 1,065 958 987

Interest-bearing liabilities 5,496 5,224 5,662

Other liabilities 965 1,044 1,257

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CONDENSED CONSOLIDATED CASH FLOW STATEMENT

2000 1999 1999

Cash flow before investments 52 -353 -68

Property investments, etc. -438 -612 -1,600

Property sales, etc. 672 1,184 1,755

Cash flow after investments 286 219 87

Interest-bearing liabilities and receivables, etc. -172 -326 15

Dividends -224 -108 -108

Financing -396 -434 -93

Total cash flow for the period -110 -215 -6

Liquid assets at the end of the period 280 181 390

Change in interest-bearing net debt, -45 -158 77 (+) increase/(-) decrease

CONSOLIDATED PROFIT BY BUSINESS UNIT

2000 1999 1999

Stockholm Residential 274 140 180

Sweden 76 41 72

Stockholm Commercial 96 43 87

Business Development/Real Estate 688 556 695

International 52 17 33

Group-wide costs -42 -61 -77

SPP – repayment of surplus funds 78 -

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CONSOLIDATED NET SALES BY BUSINESS UNIT

2000 1999 1999

Stockholm Residential 1,653 1,301 1,658

Sweden 1,188 1,051 1,562

Stockholm Commercial 1,122 934 1,470

Business Development/Real Estate 426 527 668

International 537 383 627

Eliminations -171 -108 -160

Consolidated net sales 4,755 4,088 5,825

CONSOLIDATED EARNINGS PER SHARE

SEK January – September Full year

2000 1999 1999

Earnings per share after tax a) 21.00 9.95 13.30

Earnings per share after tax, rolling a) b) 24.30 13.30

Earnings per share after tax and

after full conversion 20.80 9.90 13.20

a)

Earnings per share have been calculated on 33,241,000 shares, i.e. the number of shares prior to conversion.

b)

Calculated based on the rolling 12-month trend.

Accounting principles and definitions

For accounting principles and definitions, see the annual report for 1999.

With effect from 2000 management properties are depreciated by 1.0 per cent of the buildings’ acquisition value, compared with the previous 1.5 per cent. This is a conformation to the rest of the market, and is well motivated by the high quality of JM’s portfolio.

Operating capital is defined as the sum of book values of management properties, development properties, goodwill and accounts receivable, minus accounts payable and plus/minus project balances.

Total profit and margins from project development operations are defined as profit after selling and administration costs and property sales in the business units Stockholm Residential, Sweden, Stockholm Commercial and International. Operating nets from property management in business unit Stockholm Commercial are eliminated. The margin by business unit is based on profit before property sales.

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President’s comments

Steadily rising volumes, stronger margins and rapid turnover of fully developed properties have generated a dramatic improvement in earnings relative to 1999.

Based on our evaluation of the potential for various measures to adjust our capital structure, JM will present a proposal to the Annual General Meeting regarding repayment of capital to the shareholders.

In conclusion, we are noting strong foreign interest in JM. The number of foreign shareholders has increased dramatically in recently years and has more than doubled to over 14 per cent this year alone.

Stockholm, 24 October 2000

Carl Eric Stålberg President & CEO

FINANCIAL CALENDAR

20 February 2001: Year-end Report for 2000

24 April 2001: Interim report for the period January – March 2001 Annual General Meeting

For additional information, contact President & CEO Carl Eric Stålberg, tel: +46– 8–782 88 33 or CFO Claes Magnus Åkesson, tel: +46– 8– 782 89 71.

This interim report has not been examined by the company’s auditors. The report is also available on the company’s Web site: www.jm.se

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JM AB is a public limited company with its registered office in Stockholm. Company registration number 556045-2103.

Legal Affairs/ Developm ent President & CEO

Business Support Personnel Finance/ Treasury Corporate Communications

JM - Organisation

JM - Organization

Residential Project Developm ent Stockholm North South Inner-city Central JM Stom andInredn.

Comm ercial Project Developm ent

Stockholm

Proj. Dev..Real Estate Contracting Infrastructure Painting Projektgaranti Project Developm e International Norway Denm ark Belgium Portugal Project Developm ent

Sweden Uppsala Västerås Karlstad Linköping Gothenburg South

Business Developm ent/

Real Estate

Acquisition & Sales

F lj i

Property Mgm nt.

Borätt/ Seniorgården

Senior Housing