Comrod Communication ASAQ3 Presentation

Oslo, 26th. October 2007

Eirik S. Larsen, CEO

Kari Duestad, CFO

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Highlights Q3

Strong growth in revenues

Good financial results driven by revenue growth and strong operating performance

Improved results in the Antennas area as expected

Important new contracts secured:

New contract with US based radio producer on antennas in July

Important new contract in September for delivery of masts and antennas to a major French Army communication program

Contract with the Norwegian Army on vehicle antennas to be delivered early next year

Integration process running well

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Agenda

I. Introduction

II. Q3 Financials

III. Business Areas Highlights

IV. Summary

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Comrod Communication Group is an international specialist on antennas, masts and power supplies for defense communication applications

Four business areas:

Antennas

Masts

Power Supply

Industrial Products

Leading global market positions within antennas and masts for the defence market

Headquarter and main factory at Tau, Norway. Factory in France; Power division located in Asker.

Comrod Communicaton Group – Company profile

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Telescopic masts, sleeve, manual and motorized versions

Masts for LOS and Battlefield Surveillance

Advanced Telescopic masts integrated in vehicles, systems for advanced control and unmanned use

Four Business Areas

Antennas Masts Power Supply Industrial products

Defense tactical antennas for handheld radios, man-pack radios and vehicles

HF, VHF, UHF, GPS, WLAN, dual band, multi-band

Advanced antenna systems for special defense applications

Battery chargers and power supplies for defence radio applications

AC/DC converters

DC/DC converters

Special application power supplies

Insulators and insulating poles

Offshore products

Custom designed structural components.

Tailor-made for niche market applications

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Agenda

I. Introduction

II. Q3 Financials

III. Business Areas Highlights

IV. Summary

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Highlights of the Financial performance in Q3

Substantial growth in turnover

65 % in Q3

44 % as of Q3

Growth in EBIT

31 % in Q3

76 % as of Q3

Antennas Business Area improvement as expected

High order intake

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Q3 Main financial results

  Q3 2007 Q3 2006 D 06 -07Q3 2006

Proforma

Total Sales 65 932 34 716 89,9 % 39 858

EBITDA 8 599 5 872 46,4 % 7 151

EBIT 5 939 4 088 45,3 % 4 531

EBIT % 9,0% 11,8% 11,4%

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Q3 Main financial results YTD

  Q3 2007 YTD Q3 2006 YTD D 06 -07Q3 2006

Proforma YTD

Total Sales 186 550 83 677 122,9 % 129 927

EBITDA 24 659 12 320 100,2 % 17 018

EBIT 15 997 8 464 8,9 % 9 066

EBIT % 8,6% 10,1% 7,0%

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Segment information: Turnover per Business Area

Q3 2007 Q3 2006 Q3 2007 YTD Q3 2006 YTDAntennas Proforma Proforma

Turnover 38 352 27 139 101 657 89 080 EBIT 4 324 4 343 8 834 9 453 EBIT % 11 % 16 % 9 % 11 %

MastsTurnover 13 834 3 743 37 167 12 521 EBIT 1 031 84 3 050 192 EBIT % 7 % 2 % 8 % 2 %

Industrial Products Turnover 6 589 5 605 22 882 19 479 EBIT 555 (113) 1 603 2 297 EBIT % 8 % -2 % 7 % 12 %

Power SupplyTurnover 7 242 3 371 24 972 8 847 EBIT 1 199 217 6 154 1 573 EBIT % 17 % 6 % 25 % 18 %

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Cash Flow Statement

  30.09.2007 31.12.2006

Profit before tax 7 402 11 732

Depreciation and write-downs 8 662 5 686

Change in net working capital -11 980 -9 059

Net cash flow from operations 4 083 8 360

Net cash flow from investment activities 20 752 -122 587

Net cash flow from financing activities -23 656 116 733

Net change in cash and cash equivalents 1 180 2 506

Cash and cash equivalents at start of period 4 184 1 678

Cash and cash equivalents at end of period 5 364 4 184

Available unused credit facility 10 000 5 000

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Balance Sheet

(All figures in 1000 NOK) 30.09.2007 31.12.2006

Total Capital 260 831 271 627

Equity 88 489 18 726

Net interest-bearing liabilities 90 571 183 581

Property, Plant and Equipment 58 973 57 878

Intangible assets 65 151 67 386

Available unused credit facility 10 000 5 000

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Agenda

I. Introduction

II. Q3 Financials

III. Business Areas Highlights

IV. Summary

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Business Area Antennas - Highlights

USD 10 million contract with Harris Corporation in the US in July

The dominant position of Harris place Comrod in unique position for further growth

High activity in manufacturing to build capacity and ensure deliveries

Production capacity increased at Comrod AS

production manning increased substantially from June

Increased use of external suppliers

Operational performance improving during the quarter

Outlooks are promising for the next coming quarters

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Business Area Masts - Highlights

Important French contract secured in September for delivery of masts to French Army LOS systems (3,2m€)

Improvement program running on production in Lerc has established a basis for profitability within the Masts area

Systems related to Battle Field Surveillance emerging as new driver for growth in the market for masts

Outlooks are good for the rest of the year

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Business Area Industrial Products - Highlights

Revenue growth related to the offshore application business

Structuring of the production to be finalized within this year

Production capacity is substantially increased for capturing on the high demand within offshore application products

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Business Area Power Supply - Highlights

Excellent financial results for the quarter; revenues and profit high above Q3 2006

New “Compact Power” generation of power supplies are being developed according to plan

High number of tenders being prepared after successfully attending the DSEi exhibition in London

Outlook medium term is good; short term reduction in turnover growth in a transition period between contracts may be seen next quarters

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UMS Norway – Unmanned Systems

Development and sales of UAVs (Unmanned Aerial Vehicles)

Targeting the rapidly increasing demand for tactical UAVs in the defense and civil markets

Full scale prototype on schedule to be airborne within this year

UMS Norway has become Norwegian representative for the US based UAV company AeroVironmet Inc.

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Agenda

I. Introduction

II. Q3 Financials

III. Business Areas Highlights

IV. Summary

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Summary and Outlook

New contracts and increased production capacity secure a basis for further growth into 2008

Growth in total market expected and market outlook for all business areas is positive.

Integration process in good progress – positive and dedicated efforts from all organizational units

Continued growth expected in the rest of 2007 and beyond

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We welcome any questions

www.comrod.com