Welcome to theAnnual General Meeting

2010

Anders StrålmanPresident and CEO

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Another successful year for Axfood

• Stable growth: 32,378 Mkr (31 663) + 2.3%

• Positive operating profit: 1,128 Mkr (1 077)

• Operating margin: 3.5% (3.4)

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We met the objectives in 2009

Profitability for Hemköp

Dividend to shareholdersof at least 50% of profit after tax

Equity ratio of at least25%

Operating profit of at least SEK 1 billion

Objectives 2009

Operating profit SEK 28 m

The board proposesdividend of SEK 10 per share - or 66% of net income quarter

Satisfied the solvency goaleach quarter

Operating profit SEK 1,128 m

Outcome

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Hemköp

• Positive profit despite excludedrestructuring costs of SEK 46 m– Operating profit: SEK 28 m (-8)

• 2010: Focus on sales growth and improved profitability

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Willys

• Continued solid performance – Operating profit: SEK 731 m (730)

• “Sweden’s cheapest bag of groceries”.

• 2010: Sales growth and 5 new stores

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PrisXtra

• Not satisfying profitability– Operating profit: SEK 6 m (9)

• Reduced sales in two stores due to major roadworks

• 2010: Focus on improvingprofitability and growth

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Axfood Närlivs

• Continued profitability despitefierce competition– Operating profit: SEK 132 m

(110)

• Axfood Snabbgross showedcontinued excellent sales performance

9

Dagab

• Excellent service levels, 96.8%

• Operating profit: SEK 147 m (138)

• Cooperation with the Vi RetailersAssociation was resumed in November

10

New business system

• To better support Axfood strategies

• The project runs for 5 years

• Total investment: SEK 500-600 m

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Sustainable development

• New code of conduct

• New sustainability program – Reduce climate impact by

75% by 2020

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Strong financial posistion

Q1 2006 – Q4 2009

0

400

800

1 200

1 600

2 000

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q40

0,25

0,5

0,75

1

1,25Debt, short term, SEK m

Debt, long term, SEK m

Debt equity ratio mutiple

2006 2007 2008 2009

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Dividend

• Policy: Dividends to shareholdersof at least 50% of profit after tax

• The Board proposes a dividend of SEK 10 per share (SEK 8)

14

Market trends 2010

• Continued high price competition

• Increased price consciousnessamong customers

• Price inflation remained low

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Strategy for profitable growth

• Stimulate sales

• Continued strong cost control

• Pursue the development of our concepts

• Refine our strategy of pricing and product range

• Optimize store operations

• Further develop our private labels

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Axfood 10 years on the stock market

0

250

500

750

1 000

1 250

-00 -01 -02 -03 -04 -05 -06 -07 -08 -09

Operating profit, SEK m

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Objective 2010

Achieve an operating profitin line with 2009

Thank you for your attention!