First quarter 2011 presentation

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1 First quarter 2011 presentation Roger Halsebakk Interim CEO Sølvtrans Holding ASA Oslo, 19. May 2011 Jon Kvalø Jon Kvalø CFO Sølvtrans Holding ASA

2 Søl t s in Sølvtrans i b brief i f Background Financial Performance Y/Y Established in 1986 The world s largest well boat company p g live fish transporting 13 vessels currently operating in the North Sea & Canada Sølvtrans well boats secure efficient and environmental safe logistics for a growing fish farming industry Sølvtrans was the first wellboat company in the h world ld to be b llisted d stock is traded at Oslo Axess under the ticker STRANS Ålesund Norway HQ in Ålesund, Sales EBITDA Fleet/Capacity growth (m3) Capacity (left axis) No. of vessels (right axis)

3 1 Highlights in the quarter 2 Financial review 3 Operational review 4 Market trends and Sølvtrans position 5 Summary and outlook

4 Highlights 1st quarter Operating income of NOK 53.5 mill. NO OK 1.0 mill less than Q EBITDA of NOK 18.6 mill. NOK 1.5 mill above Q Underlying EBITDA of NOK 20.1 mill. Pretax profit of NOK 3.6 mill. NOK 3.2 mill above Q Comfortable balance sheet Equity ratio of % 9% Net cash flow affected by investment prrogram in Q1 Ronja Skye has been upgraded to meet contra actual obligations Automatic well washing systems and lice treattment equipment installed on several vessels New contract for Ronja Carrier with Coo oke Aquaculture effective from 1 April 2011 Strong contract coverage currently 89 % coverage for 2011 and 63 % for 2012

5 1 Highlights in the quarter 2 Financial review 3 Operational review 4 Market trends and Sølvtrans position 5 Summary and outlook

6 Operating income and EBITDA Q Figures in NOK mill. O Operating income Q Q Operating income Operating income of NOK 53.5 mill. 1.0 mill below Q1 10 EBITDA High degree of market related off hire in Q1 2011: 34.8 % 31.4 % EBIT Net financial items Pretax profit Q Q Crew expenses Operating expenses vessels Wage costs administration Other operating expenses Total operating expenses Severance pay to former CEO 1.5 EBITDA margin Normalised Operating Exp Listing process Normalised operating expenses Low spot activity one vessel laid up and three vessels with only partial operation. All in full operation from Q2 11 One vessel Ronja Skye non operational most of the quarter due to maintenance and significant upgrade Technical off hire at a record low level E EBITDA Reported EBITDA of NOK 18.6 mill. 1.5 mill above Q1 10 Includes NOK 1.5 mill in severance cost with former CEO Underlying EBITDA of NOK 20.1 mill in Q P Pretax profit NOK 3.6 mill Depreciations p are NOK 2.1 mill. above Q Q Net finance cost NOK 3.7 mill. less than Q1 10 due to unrealised gain on derivates

7 Balance sheet as of ASSETS Intangible assets Fixed assets Other current assets Cash & cash equivalents Total assets EQUITY & LIABILITIES Equity Current liabilities *)) Non current liabilities Total equity & liabilities Al l fi gures i n NOK mi l l. *) NOK mill / NOK of Current liabilities at respectively and are long term debt related to mortgages on the fleet. Cash & cash equivalents: NOK 50.0 mill Cash reduced with 20.8 mill. since Other Current Assets includes NOK 11.6 mill in high interest bond investments. This investment reduced by NOK 30.0 mill since Book value of vessels: NOK mill Investments of NOK mill during Q NOK 25 mill upgrade of Ronja Skye Other vessels upgraded with automatic well washing systems and equipment for lice treatment Net N t interest bearing i t t b i debt: d bt NOK mill. ill 33.8 mill increased since All covenants met per Equity ratio: % Book value: NOK 338 mill.

8 CASHFLOW (NOK mill) CF from operations Cash flow 2011 NOK mill CF from investments 10.6 CF from fin. activities 16.4 NET CASH FLOW 20.8 High level of vessel upgrades and investments 40.5 mill Loan and interest payments of 25.3 mill 11.5 mill reduction of debt 30 0 mill reduction of bond investment 30.0 Positive development in working capital Cash at hand Other changes Change in working capital Re payment from high interest bond Investments Neet loan payment 0 Net finance outflow EBITDA YTD 20 Cash at hand Cash flow Q affected by Q mill trade receivables reduction since mill Total trade receivables now at mill, 5.5 mill less than per

9 Covenant situation All covenants met per After negotiations, Sølvtrans received ne ew covenants for 2011 in February 2011 The new covenants for 2011 gives a sligh ht tightening in the Equity % covenant, covenant against an improvement in the NIBD / EBITDA co ovenant There are now three covenants in the jo oint loan agreement with Nordea and Sparebanken Møre: NIBD / EBITDA (NIBD / 12 mnth. rolling EBITDA) E Equity % Working g Capital p NOK

10 Summary financial review Sølvtrans financial result for Q is satisfactory: Apart from severance pay to former CEO O; no other special or extraordinary costs in the quarter Focus on operational improvements are starting to show results Low level of technical issues with the vesssels, except for some issues with spot vessels. Remaining vessels had a 99 % employme ent rate in the quarter Focus F on iimprovements iin working ki capit itall shows h results l Significant reduction in trade receivabless since year end 2010 Net cash outflow in Q1 due to high levell of investments and payment of public debt No issue with covenants per Sound and reasonable covenants for 2011 Financial outlook going forward is positive: A good underlying EBITDA in Q4 2010, an nd cost improvements seen in Q All vessels in full operation at start of Q Expects low level of upgrade investments for the remainder of 2011 Agreed rate increases of approx. NOK 20 0 mill in 2011 compared to 2010

11 1 Highlights in the quarter 2 Financial review 3 Operational review 4 Market trends and Sølvtrans position 5 Summary and outlook

12 Continued focus on operrational improvements Maintained strong focus on accou untability and cost control New technical management team m in place Operating Manager starts early Augu ust strong background from vessel operations and ship owning companies Experienced p Maintenance Manager g started in Februaryy 2011 Technical and operational Supervisorrs with long experience as Captain and Chief on many of our vessels started end of o Q1 Customer focus and hands on hands on opeerations Ensure that the vessels are in full operation and being continuously maintained Avoid technical off hire Results from changed focus alread dy showing results in Q1 2011

treatment Six vessels 650 m3 m Built 2001

system and RSW Four conventio onal (open

13 Modern fleet average age a of six years Two vessels m3 Built 2007 and 2009 Closed Valve syystem and RSW Lice treatment equipped Five vessels m3 Built Closed Valve syystem and RSW Two vessels equipped for lice treatment Six vessels 650 m3 m Built Two vessels witth Closed Valve system and RSW Four conventio onal (open valve) vessels Two vessel equ uipped for lice treatment

14 Our well boats key in efficient e fish farm logistics Transportatio on of of Transporta ation salmon and td trout trout salmon and from from fish farm fishto t farm fish to processin processing png plant plant % InternalInternal transportation transportation between fish farm facilities between fish farms Transportation p of Smolt transportation smolt Superior and d % 10 % sustainable grow wth and profitabilityy Sorting of fish Grading of fish 10 % Sea licelice treatment Sea treatment 5 10 % In the North Sea it is estimated that a salmon is on board a well boat 2 5 times during its lifetime

And it s a demanding day to day operation Key operational figures per year:

50 kg per Norwegian) Lice treatment 100.

15 And it s a demanding day to day operation Key operational figures per year: Transportation tons (equals appr. 50 kg per Norwegian) Lice treatment tons (with environmental friendly hydrogen peroxide) Smolt transportation ~ 40 mill fish About loading operations per year Average value of each cargo NOK 4,5 mill Organization 130 employees on board the vessels 13 employees l at the h HQ iin Ålesund Ål d Technical Manning Finance Fleet management Administration

16 Contract coverage Strong contractual status 89% 63% 15% Vessel 2010 Q4 Q Q2 Q3 Q4 Q Q2 Q3 Q4 Q Q2 2 Q3 Q4 Country Ronja Atlantic MHG Norway Ronja Harvester MHG Norway Ronja Nordic MHG Norway Ronja Pioneer MHG Scotland Ronja Viking SSC Scotland Ronja Superior MHG Norway Ronja Commander MHG Scotland Average remaining lifetime on Ronja Carrier CA Canada current contracts is two years CA Frøyhav Spot Roy Kristian Spot Frøyfisk Spot Norway SSC NHSF Scotland Canada Ronja Skye SSF Scotland Ronja Settler SSF Scotland SSF = Scottish Seafarm, f, MHG = Marine Harvest Group, p, SSC = The Scottish Salmon Company, p y, NH HSF = Northern Harvest Sea Farms CA = Cooke Aquaculture 12 out of 13 vessels under contract with solid counterparts as from Q Traditional spot market moving towards awarding more long term contracts Companies with a portfolio of vessels are preferred

17 1 Highlights in the quarter 2 Financial review 3 Operational review 4 Market trends and Sølvtrans position 5 Summary and outlook

18 Sølvtrans Market Overrview and Status Scotland: Norway: Six vessels. All contracts renewed duringg 2010 Solid position % market share Canada: Norway One vessell commenced O d on charter medio April 2011 Ronja Carrier on contract with Cooke from 1 April Canada West 2011 Demand for modern well boats with closed valve technology Scotlan nd Canada East Chile: Market showing promising development Considers re entry when market is ready again Chile Growingg wellboat demand focus on longg term charters 5 vessels currently operating 15% market share a strong market opportunity Ongoing market consolidation

19 Sølvtrans Strategy goingg forward Remain a market market and technology leader utilise the competitive edge: Maintain a modern fleet Technology leadership Environmental friendly transportation and tre eatment Operate high capacity vessels Well p positioned for further market expansio p on and growth g Footprint established in Canada Consider returning to Chile when the market is ready The Norwegian market represents growth opportunities

20 1 Highlights in the fourth quartter 2 Financial review 3 Operational review 4 Market trends and Sølvtrans position 5 Summary and outlook

21 Summary of the first quarteer 2011 Improved EBITDA EBITDA for the quarter ended e at NOK 18.6 mill. Underlying EBITDA, ex. non recurring items, of o NOK 20.5 mill. Comfortable balance sheet equity ratio of 30.9 % High underlying values in the fleet Good cash position Weak cash flow in Q1, mainly due to seasonal effects lower investments expected for the remainder of 2011 Solid contract coverage for 2011 and 2012 Tightening g te g o of financial a c a and a d ope operational at o a co contr trol o starting sta t g to show s o results esu ts

22 Outllook Short to medium term Growing global salmon production drives demand for further transport capacity Increased bio security focus drives the demand f more closed valve for l d l operations ti and d vessels l with ith environmental friendly parasite treatment equipment Expect higher operating income agreed rate increases from f January 2011 Agreed rate increases from contract re negotiations in 2010 implies an increase in operating income of approx. NOK 20 mill. for 2011 Seasonally higher maintenance and investments in first half Yearly maintenance and refurbishment is normally carried out for the majority of the fleet in H both operating income and For the full year 2011, EBITDA are expected to improve vs Long term Strong outlook in the market for transportation of salmon and trout: Growing global salmon production Strong St growth th expected t d in i Chile Chil iin coming i years Order book for closed valve vessels not large enough to prevent rate increases going forward Charter rates expected to continue showing solid increase year on year Competitive advantage for players with modern fleet and high capacity vessels Industry consolidation will continue

23 Th k you for Thank f your y attention! tt ti! In the beginning.. and now!

24 Disclaimer This Presentation includes and is based, inter alia, on forward lo ooking information and statements that are subject to risks and uncertainties that could cause actual results to differ. Such forw ward looking information and statements are based on current expectations, estimates and projections about global economic con nditions, the economic conditions of the regions and industries that are major markets for Sølvtrans Holding ASA and its subsidiaries. These expectations, estimates and projections are generally identifiable by statements containing words such as "expects", "beelieves", "estimates" or similar expressions. Important factors that could cause actual results to differ materially from those expectatio ons include, among others, economic and market conditions in the geographic areas and industries that are or will be major markets fo or Sølvtrans Holding s businesses, salmon prices, oil prices, market acceptance of new products and services, changes in governmentall regulations, interest rates, fluctuations in currency exchange rates and such other factors as may be discussed from time to time. Alth hough Sølvtrans Holding ASA believes that its expectations and the information in this Presentation were based upon reasonable assum mptions at the time when they were made, it can give no assurance th t those that th expectations t ti will ill be b achieved hi d or that th t the th actual t l results lt will ill be b as sett outt in i this thi Presentation. P t ti Søl t Sølvtrans H ldi ASA nor Holding any other company within the Sølvtrans Holding Group is makin ng any representation or warranty, expressed or implied, as to the accuracy, reliability or completeness of the information in the Pressentation, and neither Sølvtrans Holding ASA, any other company within the Sølvtrans Holding Group nor any of their directors, officcers or employees will have any liability to you or any other persons resulting from your use of the information in the Presentation. Sølvvtrans Holding ASA undertakes no obligation to publicly update or revise any forward forward looking looking information or statements in the Presen ntation.

Sølvtrans Holding ASA Q Oslo, 15 May Roger Halsebakk, CEO Jon Kvalø, CFO

Sølvtrans Holding ASA Q Oslo, 15 May Roger Halsebakk, CEO Jon Kvalø, CFO Sølvtrans Holding ASA Q1 2012 Oslo, 15 May 2012 Roger Halsebakk, CEO Jon Kvalø, CFO 1 Highlights in the quarter 2 Financial review 3 Operational and market review 4 Summary and outlook 5 Appendix Highlights