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Third quarter 2004 results

15 October 2004

- Revenues 665 MNOK (+2% relative to third quarter 2003)

- Europe 209 MNOK (-7%)

- North America 330 MNOK (+1%)

- Non-deposit markets 126 MNOK (+29%)

- Received Statement of Objections from the EU Commission

- Continued positive development in California

- RVM order worth 44 MNOK secured in the US

- Acquisition of TiTech completed in August 2004

Europe (deposit-markets)

Revenues in Europe amounted to 650 MNOK in the first nine months of 2004 against 572 MNOK in 2003 an increase of 14 percent. Revenues measured in local currency increased by 13 percent. Revenues in Germany during the third quarter 2004 amounted to 65 MNOK, which is flat versus third quarter 2003. TOMRA anticipates increased demand for refillable RVM technology in the fourth quarter 2004 versus the third quarter 2004.

On 3 September 2004 TOMRA received the EU Commission`s Statement of Objections related to supply agreements which had been entered into by TOMRA with certain customers. This statement was based on a control completed at TOMRA`s facilities in September 2001. The Commission is of the opinion that TOMRA has exploited its dominant market position in several European markets. TOMRA has until mid- November to answer the Commission`s objections before a final decision in the case is made. TOMRA is also entitled to appeal the final decision of the Commission to the European Court of Justice.

North America (deposit-markets)

Revenues in North America amounted to 903 MNOK in the first nine months of 2004 an increase of one percent from 897 MNOK in 2003. Measured in USD, revenues increased by five percent In the U.S. East region, container volumes increased by an estimated four percent in the third quarter 2004 versus 2003. This positively impacted TOMRA`s material handling operations Revenues year-to-date in California equaled 255 MNOK, which was an increase of 16 percent versus 2003. The revenue growth was mainly driven by higher volume growth, as well as higher PET and aluminum prices.

Brazil (non-deposit market)

Revenues in Brazil in the first nine months of 2004 amounted to 269 MNOK a decrease of four percent versus 2003. Measured in USD, revenues were unchanged.

Japan (non-deposit market) 

TOMRA has together with Sumitomo - a leading Japanese industrial conglomerate - established the first of nine targeted pilot collection centers in the Tokyo/Yokohama region. The test pilots are expected to run until the beginning of 2005. A successful completion of the pilots will form the basis for discussion regarding a more formal partnership model with Sumitomo.

TiTech (non-deposit market)

The formal closing of TOMRA`s acquisition of TiTech Visionsort AS from Ferd AS occurred on 25 August 2004. The acquisition price for the shares in TiTech equaled 219 MNOK. Revenue in TiTech during the third quarter equaled 24 MNOK, which is an increase of 33 percent versus the prior year. Strong demand for TiTech`s technology within the packaging segment across Europe is the main driver for this increase.