During the first half of 2007, the ALSO Group pushed up net sales by 120% to CHF 2 268 million, mainly on the strength of its acquisition of the GNT Group (2006: CHF 1 031 million). Although ALSO excluding GNT managed to push up its net income by 72% to CHF 11.7 million (2006: CHF 6.8 million), the Group result was a consolidated net loss of CHF 7.5 million caused manly by GNT Sweden. In regard to this, the Group incurred restructuring costs for GNT Sweden as well as extraordinary costs for balance sheet adjustments totalling CHF 5.0 million. Excluding unforeseen circumstances ALSO is targeting net sales of CHF 4.5 to 5.0 billion for 2007, with a net income of CHF 5.0 to 7.0 million.

ALSO Group: half-year net sales up by 120%
Unit growth on the European PC markets relevant for ALSO was around 10% during the first half of 2007, which also represents a slight growth in value. During the first six months, the ALSO Group pushed up net sales by 120% to CHF 2 268 million compared with the same period last year (2006: CHF 1 031 million). Both ALSO Switzerland and ALSO Germany played a considerable role in generating this vigorous growth. On top of this came the additional revenues from GNT Group, which was acquired on 1 September 2006. Although ALSO excluding GNT pushed up its half-yearly net income by 72%, the ALSO Group closed the first six months of 2007 with a loss of CHF 7.5 million. Compared with 31 December 2006, net working capital was down by 167 million. On 30 June 2007, total assets stood at CHF 1 101 million (31.12.2006: CHF 1 417 million) and the equity ratio at 18% (31.12.2006: 14%). On balance sheet date, ALSO had 1 873 employees (2006: 606). Of these, 1 202 were attributable to the acquisition of the GNT Group.

ALSO without GNT: net result up by 72%
Excluding GNT, ALSO achieved an excellent result in the first half of 2007. While the PC markets in Switzerland and Germany were down in value, ALSO reported an increase in sales of 16%, taking them to CHF 1 199 million (2006: CHF 1 031 million) and a net income of CHF 11.7 million, up 72% from the same period in 2006 (CHF 6.8 million). The operating profit of CHF 17.6 million was up 68% over the previous year (2006: CHF 10.5 million).

With an increase of 9% in sales, ALSO strengthened its position on the Swiss market. This was assisted by the addition of new IT product lines. Apart from this, ALSO reported continued growth with IT consumables and home electronics and acquired two new customers (SRG-SSR and The Phone House) for its logistics services. The German subsidiary increased its sales by 22%, primarily through increases in market share in its existing product portfolio but also by taking new manufacturers like Asus, Logitech and Samsung on board. Thanks to higher sales, increased efficiency and a slight improvement in margins, both the Germany and Swiss subsidiaries reported a disproportionate increase in operating profit compared with the first half of 2006.

GNT Group: operating loss in Sweden and non-recurring costs burden GNT result
The GNT Group, which has belonged to ALSO since 1 September 2006, generated first-half sales of CHF 1 069 million (2006: CHF 1 012 million). With the exception of GNT Sweden, all GNT companies reported increased sales over the same period last year. Overall, the newly acquired subsidiary reported a net loss of CHF 19.2 million. This was due primarily to the high losses reported by the Swedish subsidiary, which has yet to make the turnaround. Apart from this, the GNT Group's half-year loss includes extraordinary costs of CHF 5.0 million for restructuring and balance sheet adjustments.

Outlook for 2007: CHF 5.0 to 7.0 million net income and CHF 4.5 to 5.0 billion sales
The noticeable increase in demand should be maintained in most European countries during the second half of the year. For the current year, ALSO is expecting net sales of between CHF 4.5 and 5.0 billion and a consolidated net income of approximately CHF 14.0 million in the second half of 2007. Excluding unforeseen circumstances, net income for 2007 is expected to be in the region of CHF 5.0. to 7.0 million. In the medium term, ALSO is targeting sales of over CHF 5 billion with a net income of CHF 35 to 40 million.

Contact:
Maya von Krannichfeldt, Head of Corporate Communications, ALSO Holding AG
Tel. +41 41 266 18 02

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Quarterly report: 9 November 2007