Based on Norske Skog's long-term incentive program, the following number of synthetic options have today been allocated to Norske Skog's top management team:

 

Jan Oksum 60,000 options (previous ownership 11,369 shares and 60,000 options)

Vidar Lerstad 30,000 options (4,549 shares, 30,000 options)

Rolf Negård 30,000 options (1,042 shares, 30,000 options)

Hanne Aaberg 30,000 options (1,654 shares, 30,000 options)

Jarle Dragvik 30,000 options (2,673 shares, 30,000 options)

Jan H. Clasen 30,000 options (742 shares, no options)

Ketil Lyng 30,000 options (3,874 shares, 30,000 options)

Rob Lord 30,000 options (1,786 shares, 30,000 options)

Antonio Dias 30,000 options (820 shares, no options)

 

Strike price is NOK 117, which is the average of the daily closing price of Norske Skog's shares in the period Sept 17 - Sept 30, 2004.

 

The options expire Dec 31, 2007, and can be exercised in the period Jul 1 - Dec 31, 2007. If the options are exercised, an amount corresponding to the difference between market price and strike price will be paid to the holder. This amount will be treated as salary, and the net amount, less tax, shall be used to buy Norske Skog shares in the market. These shares must be held for three years. It will therefore take around six years before a potential capital gain can be realized. The options are valid as long as the persons entitled are employed by Norske Skog. The program has no dilution effect.

 

The previous allocation in November 2003 was done at a strike price of NOK 134.50, and execution can be done in the period Jul 1 - Dec 31, 2006. Other conditions are identical to the options that are allocated today.