Borregaard: Share options issued

27.10.2014: Borregaard ASA ("Borregaard", OSE ticker: BRG)

Borregaard's Board of Directors has decided to issue 500,000 share options in accordance with the proxy given by the Annual General Meeting held on 23 April 2014.

The options will expire after five years (25 October 2019), and may be exercised in the last two years. The strike price of the options is NOK 49.25 and is based on the volume weighted average share price during the first three trading days after the announcement of the 3rd quarter results of 2014 with an addition of 10%. The strike price will be adjusted for dividend and equity transactions during the period. The maximum annual gain is limited to twice the annual base salary for the CEO and equivalent to the annual base salary for the other option holders. At least 50% of proceeds after tax must be used to purchase shares in the Company and the purchased shares will be locked for a period of three years. In addition, the members of the Executive Management are expected to acquire shares until their shareholdings equal their annual base salary, or twice the base salary for the CEO.

Primary insiders in Borregaard have the following holdings of options and shares in Borregaard after the issue of share options 27 October 2014 (new options in parenthesis):
Per A. Sørlie holds 310,000 options and owns 110,987 shares (60,000)
Morten Harlem holds 40,000 options and owns 45,084 shares (40,000)
Tom Erik Foss-Jacobsen holds 30,000 options and owns 34,740 shares (30,000)
Per Bjarne Lyngstad holds 40,000 options and owns 52,721 shares (30,000)
Tuva Barnholt holds 25,000 options and owns 28,293 shares (25,000)
Sveinung Heggen holds 25,000 options and owns together with related parties 4,209 shares (25,000)
Ole Gunnar Jakobsen holds 31,300 options and owns 27,488 shares (25,000)
Gisle Løhre Johansen holds 25,000 options and owns 29,184 shares (25,000)
Dag Arthur Aasbø holds 37,500 options and owns 39,721 shares (25,000)

After the issue, the total number of outstanding share options is 1,098,800, equivalent to 1.10% of the number of issued shares (including 777,883 treasury shares) in Borregaard.

Chief Financial Officer, Per Bjarne Lyngstad, mobile +47 952 44 515
Senior Vice President Organisation and Public Affairs, Dag Arthur Aasbø, mobile +47 918 34 108

This information is subject to the disclosure requirements pursuant to Section 5-12 of the Norwegian Securities Trading Act.