As the newly appointed CEO for Getupdated I am able to confirm that the company has had a relatively good 2011 thus far and can report a very satisfactory third quarter with an operating profit of SEK 1.9 million. We continue to enjoy strong growth of no less than 9 per cent in our core search engine optimisation operation.

The company's financial situation has improved somewhat, but because it is still not entirely satisfactory the board has resolved to propose to the Annual General Meeting a rights issue in the amount of SEK 20.5 million. The issue is fully backed through subscription rights and guarantees. The proceeds will be used chiefly to settle expensive current liabilities charged to our earnings as excessive interest rates that weigh down our bottom line.

As mentioned in our interim report for the second quarter, we have taken measures to ensure annual cost savings of around SEK 10 million. These measures will come into full force in 2012. During the quarter we moved into our new head office on Lindhagensgatan in Stockholm, which will contribute almost SEK 5 million of the savings.

Getupdated has entered into agreements with Betsafe, Fatspartner and Lajbansson, among others in the Swedish market. Our Circuit consultancy delivered a website to Selecta and published a white paper on social intranets, which is available for download at www.circuit.se. In our other markets, Just Search in France and Just Search Italia continue their positive development by entering into strategic agreements with key customers in various industries such as the city of Paris and ProtPack in France and Castellare di Tonda and Farmawell in Italy. We will continue to evaluate new markets based on this experience and we stand fast with our goal of establishing Getupdated and Just Search product offers in additional geographical regions under controlled conditions. Plans include setting up in two or three new markets before the end of 2012.

We are also planning to open sales offices in central Manchester and London during the same period.

Peter Eriksson
CEO, Group CEO