Eignarhaldsfélagið Farice ehf. - Financial Statement Release

Farice ehf. 2010 results

Farice ehf. 2010 results
(All amounts in EUR)

  -- Revenues for 2010 amounted to 6.7 million (2009: 5.8 million)
  -- Operational & Administrative expenses amounted to 5.8 million (2009:
     4.5 million)
  -- Loss of the year amounted to 17.0 million ( 2009: 14.6 million)


Key events during the period

Eignarhaldsfélagið Farice ehf. and its subsidiary, Farice hf., in cooperation
with their largest creditors and shareholders, went through financial
restructuring of the companies in 2010. At shareholders‘ meetings of both
companies in December 2010 the merger of Farice hf. with its parent company,
Eignarhaldsfélagið Farice ehf. was approved. Eignarhaldsfélagið Farice ehf.‘s
shareholders‘ meeting also approved a subsequent increase of share capital
after the company's share capital had been reduced to adjust for accumulated
losses. Furthermore, the name of the merged company was changed to Farice ehf. 



Operating environment and finances

The new and strong capital structure of the Company is aimed at supporting the
sustainability and growth of the Company in years to come. The agreements the
Company has with its customers in the public telecommunications sector and the
current and future agreements with the data center industry are the two main
sources of revenue for the Company. Although the annual increase in
international bandwidth demand from the public telecommunication sector is very
high, the Company‘s future prospects are very much depending on the data center
industry in Iceland, which is growing. The new debt repayment profile agreed
with the Company‘s creditors is an important factor in the Company‘s future. 



For further information, contact:

Gudmundur Gunnarsson, CEO of Farice ehf
Tel:  (+354) 893 4840
e-mail: gg@farice.is

Attachments:

Farice ehf ársreikningur 2010.pdf