Improved markets and profit growth for Orkla

Orkla's operating profit (EBITA) increased by 14% from NOK 1,161 million in the
fourth quarter of 2009 to NOK 1,322 million in the same period of 2010. Full-
year operating profit (EBITA) increased by 30% from NOK 3,029 million to NOK
3,944 million. 2010 was a good year for the Share Portfolio, which achieved a
return of 31.8 %.

"The broad-based improvement for Orkla's industrial activities reflects both
operational improvements and better markets. We are continuing to keep up the
pressure with regard to operational improvements, while also pursuing our
structural development efforts," says Orkla President and CEO Bjørn M. Wiggen.

Growth in volume and product mix and stronger market shares contributed to the
improved results from Orkla Brands. Particularly good progress was made by the
larger businesses in the Nordic region. Raw material prices continue to rise, a
trend that will have to be countered by cost cuts and price increases. Important
expansion investments were made in 11 companies and one brand in 2010.

Sapa reported significant improvement in volumes and profit in 2010.  However,
further volume increases are required to bring the market back to more
normalised levels. Particularly volumes in the North American and South European
markets remain low. Renewed emphasis has been put on improvement programmes with
a view to improving the company's cost position, particularly in the profiles
business. Sapa Heat Transfer has seen an increase in new orders. The start-up of
the new factory in Shanghai is proceeding as planned, and Sapa is continuing its
expansion in Asia.

Borregaard is experiencing good demand and higher prices, and reported good
operating results in the fourth quarter. The hydro power business was impacted
by the fact that 2010 was extraordinarily dry and cold. REC reported a good
fourth quarter, with EBITDA of NOK 1836 million. The Share Portfolio delivered a
very positive performance, achieving a return for the year of 31.8%, compared
with 18.3% for the Oslo Stock Exchange.

In accordance with Orkla's dividend strategy, the Board of Directors proposes to
pay an ordinary dividend of NOK 2.50 per share for 2010. This increase in
dividend is in line with Orkla's goal of delivering a stable, growing dividend
to shareholders over time.

"Orkla will continue to create long-term value by developing a portfolio of
companies and investments. The interaction between the company's solid financial
and industrial expertise and experience will remain the core of Orkla's business
model. Orkla will actively develop and support the various units in the Group.
This means that the portfolio cannot be too broad, which is why we are
concentrating our activities and reallocating resources and capital to the
businesses in which Orkla is best positioned for success. Continuous focus on
operational efficiency in every part of the value chain will lay a solid
foundation for the company's growth," says President and CEO Bjørn M. Wiggen.


Key figures for the Orkla Group
                                        1.1. - 31.12.    1.10. - 31.12.

 Amounts in NOK million                  2010     2009     2010     2009
-------------------------------------------------------------------------
 Operating revenues                    57,338   50,233   15,884   13,497

 Adjusted EBITA[1]                     3,944     3,029    1,322    1,161

 Profit/loss before taxes              20        1,855    1,811      714

 Earnings per share diluted (NOK)      (0.9)       2.5      1.6      1.1
-------------------------------------------------------------------------


 Cash flow from operating activities   2,469    5,802    1,748     2,687

 Net interest-bearing liabilities      19,652   19,848
-------------------------------------------------------------------------


 Equity ratio (%)                      53.6       51.7

 Net gearing[2]                        0.42       0.41
-------------------------------------------------------------------------
( )
[1] Operating profit before amortisation and other income and expenses
[2] [Net interest-bearing liabilities]/Equity


Orkla ASA
Oslo, 10 February 2011

Ref.:

Senior VP Corporate Communication and Public Affairs
Johan Chr. Hovland
Telephone [phone]

Senior VP Investor Relations
Rune Helland
Telephone [phone]

VP Investor Relations
Siv M. S. Brekke
Telephone [phone] 093

This information is subject of the disclosure requirements acc. to §5-12 vphl
(Norwegian Securities Trading Act)



Quarterly and accounting figures 4th Quarter 2010: 


http://hugin.info/111/R/1487483/422958.xls

Restated figures - income statement 2009-2010 - Elkem as discontinued operations: 


http://hugin.info/111/R/1487483/422959.xls

Presentation of 4th Quarter 2010: 


http://hugin.info/111/R/1487483/422956.pdf

4th Quarter 2010: 


http://hugin.info/111/R/1487483/422955.pdf




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Source: Orkla ASA via Thomson Reuters ONE

[HUG#1487483]