The election committee has consisted of Tom Furuland (leader), Egil Sundbye and Lise Lindbäck.

 

Company board

The company board currently consists of Widar Salbuvik (Chairman), Jostein Devold, Torstein Tvenge, Anne Birgitte Fossum, Hege Børmark and Thorild Widwey.

 

On behalf of the 19,2% shareholder representatives, lawyer Einar Greve has called in an extra ordinary general meeting discussing a new company board and election committee.

 

The committee has through their work emphasized the suggestion of suitable candidates that have the relevant qualifications in relation to the different tasks and challenges the company is exposed to. Furthermore, the candidate evaluations are based on criterias such as continuity and on the opinion of the shareholders of which Einar Greve represents.

 

The committee has approached 16 major shareholders in writing asking for their opinion on suitable candidates for the company board. Moreover, the committee has released information on Norwegian Properties intranet site regarding the upcoming general meeting and asked for suggestions for possible candidates. Despite the given initiatives, the committee has not received candidates other than their own proposals. The election committee has also enquired views on the company board composition from underwriters in the private placement without comments.

 

The committee has had several meetings and conference calls with the chairman as well as different members of the board and representatives from the administration. Furthermore, meetings are held with attorney Greve. The committee has also had meetings with potential new candidates for the board. Attorney Greve has on behalf of his shareholder representatives suggested Hans Hermann Horn as new board member and Greve as new member of the election committee.

 

After a total evaluation of the situation, the committee has concluded that the number of board members should be increased from 6 to 7. Widar Salbuvik has been suggested for re-election as board leader, and has confirmed he will run for re-election. Torstein Tvenge, Jostein Devold and Anne Birgitte Fossum are also suggested to be re-elected. The following candidates have also confirmed participation in the re-election.

 

New suggested board members are Hans Hermann Horn, Hilde Vatne and Helene Jebsen Anker.

 

The candidates CV are as follows:

Hans Hermann Horn:
Columbia University med Master i Business
Administration,
Vice President i Chase JP Morgan Securities Inc.
Privat investor with real-estate among.
Board member in several property companies

    

Hilde Vatne:
Executive MBA BI/ESCP-EAP, Handelsøkonom.
CFO i Coor Service Management AS,
CFO in Selvaag bygg,
Board member in:
DnB NOR Fondene
VMETRO ASA
Sparebank 1 Boligkreditt AS
DnB NOR Kapitalforvaltning ASA
Avanse Forvaltning.

Helene Jebsen Anker:
Graduated from NHH i Bergen
Head of credit in Nordea Næringseiendom
Board member in:
IMAREX ASA
NOS Clearing ASA

 

After the election, the board will consist of:

Widar Salbuvik, Chairman, Hilde Vatne, Jostein Devold, Anne Birgitte Fossum, Torstein Tvenge, Hans Hermann Horn and Helene Jebsen Anker as members.

 

As suggested for the election committee:
Tom Furulund (chairman), Einar J. Greve and Lise Lindbäck

 

Remuneration for board members

The committee has agreed on that the chairman's new role in the concern will be more extensive than for a normal company. The committee will therefore suggest a compensatory model based on the fact that the chairman of the board operates as working chairman of the company. Based on these facts, the chairman of the board will until the general meeting in 2009 receive 150.000 NOK per month. This will be instead of the original remuneration of 400.000 NOK per year which was agreed on the ordinary general meeting (May 2008).

 

Furthermore, the election committee member Furuland proposes that the chairman of the board in addition should receive options to subscribe for in total 300.000 shares. The share price will depend on when he executes the subscription rights:

 

            1. September 2009 share price 30
            1.         `         2010 share price 35
            1.         `         2011 share price 40 

 

The remuneration to the other board members was announced in May 2008 at the general meeting and will be unchanged until the next general meeting in 2009.

 

Regards,

 

Election Committee Norwegian Property

 

Tom Furulund