Navita Annual Report 2009

Annual Report 2009
HALDEN LO S A N G E L E S TO RO N TO LO N D O N E D I N B U RG H O S LO S TO C K H O L M
index
THIS IS NAVITA 3
CEO’S COMMENTS 4-5
2009 IN BRIEF 6-7
MARKET OUTLOOK 8
STRATEGY 9
OUR CUSTOMERS 10-11
INCOME STATEMENT 12
BALANCE SHEET 13-14
CASH FLOW STATEMENT 15
STATEMENT OF CHANGES IN EQUITY 16
NOTES TO FINANCIAL STATEMENTS 2009 17-33
AUDITOR’S REPORT 34
BOARD OF DIRECTOR’S REPORT 35
2 - CONTENT INDEX
Annual Report 2009
this is
Navita’s roots can be traced back to 1988 when Institutt
for Energiteknikk (IFE), an independent research or-
ganisation in Halden, Norway, was tasked with research
N AV I TA that led to the formation of Nordpool, the world’s first

power exchange. IFE spun-off these activities in 1996,
forming Hand-El Skandinavia, which was eventually
NAVITA IS A PREMIER PROVIDER of software and acquired by the OM Group, now Nasdaq OMX. When
services to the global energy and commodity the opportunity presented itself in 2003, the executive
trading community. team bought out the company and renamed it Navita.
POMAX, Navita’s core product and a best-of-breed

solution for energy trading, commodity trading and risk
management, supports trading in electric power, gas,
crude oil, coal, emissions / carbon, freight derivatives,
weather derivatives, interest rates, currencies, and
equities. While a true multi-commodity solution that
can be configured for almost any set of energy or other
commodities it has an extended functional footprint in
the area of physical power and physical gas.
Energy producers, energy consumers, trading houses,

banks, hedge funds, and shipping companies the
world over use POMAX extensively. There are today,
more than 100 POMAX installations in Europe, North
America, Australia and Asia. Customers include Abitibi,
Bruce Power, Clarksons, DB Energie, EdF Trading, E.ON,
Finotec, GdF, IMC Shipping, KS&T, Louis Dreyfus Arma-
teurs, Mercuria, Navios, and Statkraft.
Navita has an extensive network of implementation and

solution partners. Navita is a Microsoft Gold Certified
Partner, Oracle Solution Partner, and ThomsonReuters
Solution Partner.
Navita works globally in development, sales, delivery,

and support from offices in Los Angeles, Toronto,
London, Edinburgh, Oslo, and Stockholm. The Navita
headquarters are located in Halden .
3 - THIS IS NAVITA HALDEN LO S A N G E L E S TO RO N TO LO N D O N E D I N B U RG H O S LO S TO C K H O L M

Annual Report 2009
2009: A year of significant accomplishments in a year

of significant challenge
TO OUR STAKEHOLDERS | Contrary to the challenges of 2009 and capitalizing on its uniqueness,
Navita racked up profitable progress in new markets with new customers and new technology.
Leveraging this progress forward, Navita adopts a new vision as it prepares to overtake its compe-
tition in a quest to capture the industry’s product leader position.
Significant challenge
2009 was a very challenging year for Navita, with multi-year framework agreements with key clients for
very limited IT spend in our sector, especially for new professional services, we kicked-off 2010 with a solid
systems and system replacements; limited ability to order book.
finance going operations as well as growth aspirations,
for Navita as well as our clients; and very challenging Delivering unique solutions faster than anyone
client requirements. Navita has many competitive advantages but what
is most unique is our size versus benefits-delivered
Significant financial improvement differential. As a top five contender, we are a relative
It was also a year of great accomplishments. The most lightweight in size, but a fully-fledged heavyweight in
visible accomplishment and the one I am personally terms of customer value created through product and
most proud, of is our EBITDA improvement of NOK partner advantages. No one delivers so much for so
16,4m from 2008 to 2009, which brought us solidly little and nor as fast as we do.
into the black, EBITDA-wise. This improvement was the
result of a dedicated and relentless effort by our staff to In addition to our competitive advantages of close
simultaneously deliver according to expectations, cut client interaction, a solid understanding of the physical
costs, increase revenues, and improve operational side of energy markets dating back to the formation of
effectiveness and efficiency. This improvement did not Nord Pool and the sheer brute force of our organisation,
come easily, and I would like to thank our clients and all paid us solid dividends in 2009. But we want more.
our employees for their efforts in securing this Navita’s goal of becoming a top three global ECTRM
remarkable performance improvement. provider and being ranked as the undeniable European
industry leader, is unmovable but requires an earth-
Additionally, we improved our topline by 7% from quake event to realise. I believe Navita has the capacity
2008 to 2009, which, while significantly lower than our to precipitate this momentous event.
historical average of 25-35% and longer-term growth
aspirations of 30%, was an accomplishment in itself. Navita’s industry forecast: earthquake warning
Most of this topline improvement was the result of New technologies produce new opportunities. While
working more closely with our major and most many of our competitors struggle to maintain their
challenging clients. For these clients, during 2009, we existent infrastructures and adapt them to new
became a much more trusted advisor and long-term functional requirements – a strategy we feel equivalent
partner than before. Playing this role has allowed us, to building business along the fault line dividing
and me personally, to reflect on how we can deliver yesterday from tomorrow, Navita is aligning its
superior and consistent business value over time for technology strategy with major and robust
any current or prospective top-tier client. technology trends in the IT industry, something we
believe is needed to deliver the next decade’s
New markets, new customers performance requirements. Microsoft leads the
We also achieved major market breakthroughs in 2009 technological forefront with infrastructure components
winning two large deals in each of the German and US such as Workflow Foundation, AppFabric, and .Net.
markets, and we signed a new license deal with a major Using state-of-the-art, non-proprietary technology
Russian player signaling a breakthrough in that market lowers Navita’s development costs and enables us to
as well. Decisively, these deals demonstrate Navita’s offer generic, open solutions that more easily add ex-
ability to meet the diverse needs of different markets. cellent workflow functionality faster and cheaper than
With these license deals in hand and with several large, competitors while delivering a highly configurable
www.navita.com 4 - CEO’S COMMENTS

Annual Report 2009
platform our clients can virtually ‘plug straight into’. Thank you
I believe the rapid emergence in our industry of a single Our performance and progress in 2009, owed to our
provider with the vision to create the world’s most clients, employees, and suppliers, is a tremendous
scalable and best performing platform with the best source of inspiration from which to launch our 2010/11
workflow platform, coupled with the world’s best time ambitions of developing and delivering the ECTRM
series platform, would precipitate an industry industry’s best solution and securing a top three global
earthquake and dislodge today’s predominant position. For that, I sincerely thank all our stakeholders
players. This is our vision and armed with it, Navita who played a principal part! With your equal efforts this
gives notice that we are shifting our focus and year, we can all expect an exciting, eventful and even
channeling our resources to leverage today’s better 2010 for Navita.
future-focused technology to create the most scalable
and best performing platform with the best workflow,
and to bridge these two with what is already arguably
Halden, May 9, 2010
the world’s best time series platform – POMAX – the
critical key to delivering future
functionality.
Our aim then is nothing short of developing the ECTRM

industry’s best solution by delivering a comprehensive Knut Johansen, CEO
platform that fulfils the key functionality, scalability
and performance needs of the top-tier customer
segment, and doing so within 2011.
HALDEN LO S A N G E L E S TO RO N TO LO N D O N E D I N B U RG H O S LO S TO C K H O L M
Annual Report 2009
2009 in Brief
During 2009 and despite the financial crisis in winter 2008/2009, NAVITA continued to grow the
business, increasing 2008 to 2009 revenue by around 7%, and improving our EBITDA by more
than 16 MNOK.
Much of the strong performance in first half of 2009 NAVITA continued during 2009 to build partnerships
was a result of preparations and work conducted in the with product vendors with complementary products,
fall of 2008 in response to the financial crisis, when we and major system integrators.
adjusted our cost base, managed to maintain or grow
our position in key markets, and remained loyal to our Towards the end of 2009 we saw a steady growth in
strategy of pursuing the market in German-speaking new business opportunities, in particular in the ECTRM
Europe. market, and NAVITA’s combined offerings of POMAX
ECTRM, POMAX PENS, POMAX GLM and POMAX
2009 was a year with fewer new contracts than the year CurveManager have become increasingly attractive in
before. We managed, however, to grow revenue, the market place.
primarily by compensating for reduced license
revenues with increased after sales activities. 2009 was a great year financially, and a strong order
book combined with a solid sales pipeline at the end of
In particular, during the second half of 2009, Navita 2009 created a strong basis for a solid 2010. Indeed, we
established several long-term customer partner expect 2010 to be a year in which we
agreements with highly demanding, highly skilled and continue to grow our revenue and profit margins,
high performing key customers. These agreements enhance our products and offerings, strengthen our
boosted prioritisation of important future functionality customer relationships, bring onboard skilled
in POMAX as well as gave Navita a solid order book. resources, and become one of the leading providers in
the world within our market.
Our investment in the German market, which started
early in 2008, started to pay off in 2009 as we were
able to continuously grow our footprint in German-
speaking Europe throughout 2009.
In 2009, NAVITA continued to develop technology and

build functionality, in response to customer demands,
increased complexity, and exponentially growing data
volumes. In this process of enhancing technology and
building functionality, we aggressively leveraged the
customer partner agreements referred to above, our
Microsoft Gold Certification, and our strong relationship
with research and science centers and environments,
like the Norwegian Center of Expertise in Halden.
www.navita.com 6 - 2009 IN BRIEF

Annual Report 2009
“ Our performance and progress in 2009,

owed to our clients, employees, and
suppliers, is a tremendous source of
inspiration from which to launch our
2010/11 ambitions of developing and
delivering the ECTRM industry’s best
solution and securing a top three global
position.
7 - 2009 IN BRIEF HALDEN LO S A N G E L E S TO RO N TO LO N D O N E D I N B U RG H O S LO S TO C K H O L M

Annual Report 2009
Market Outlook
Before looking ahead to 2010, taking stock of 2009, we witnessed an exceptional year, due to
the financial crisis. In Navita’s annual report for 2008, we predicted a robust market in 2009 with
significant uncertainty range and dominated by physical players as opposed to banks and hedge
funds.
We also predicted a market tilted towards system market will be the choice between multi-year, large
maintenance and upgrades, rather than replacements investment, made-to-measure implementation
and new sales. Finally, we predicted interesting growth models, vs. single-year, staged investment,
in Germany, especially in the mid-tier segment. All our product-based implementation models, and we predict,
predictions proved true. though with some uncertainty, a general preference in
the market for the latter.
Looking towards 2010 and to some extent into 2011,
several clear, consistent, and contrary trends are Technology-wise, we predict that customers and
emerging: vendors alike will seriously consider SaaS-based and
web-based delivery models for ECTRM systems. This
Geographically, we expect a robust market to develop prediction is based on interest from key industry
in Europe throughout the remaining part of 2010 and analysts like Utilipoint in exploring such models; very
into 2011, especially in German-speaking Europe and explicit predictions from Gartner, the IT industry
the UK, as well as Southern and Eastern Europe. consultancy, about the emergence of the ‘cloud’; and
the simple fact that major vendors have started to
Segment-wise, smaller players, with financial-side focus market solutions ranging from traditional hosted
in the market, are definitely back in the game. solutions to real cloud-based solutions. Partly as a
At Navita, throughout Q1 2010, we have already seen consequence of such new delivery models, we
an interesting increase in interest from smaller players believe that we will see pressure to price according
in our offerings, with a number of deals having been to use based on, for example, # seats, # markets, or
closed already. Most of these players are fairly price # transactions. On the functionality side, we expect
sensitive leading us to speculate that Navita’s value that workflow and sub-hourly resolution will be key
proposition of ‘90% of the functionality out of the requirements for many customers in Europe and North
box, 50% of the price, and 25% of the implementation America.
time’, will be particularly attractive to these players.
One of the key selling points for NAVITA is delivering
product that can keep the simple things simple, but still
capable of providing full flexibility to manage the most
complex requirements. The fact that we see significant
and constantly growing interest amongst the bigger
players demonstrates this fact.
Looking at the existing customer base, there is a

generally strong willingness to invest in their current
platform, which, for Navita, has translated into
increased demand for professional services.
Consequently, as a particular manifestation of this
willingness, we anticipate a trend to more
partnership-based models, framework agreements, and
similar.
The interest from bigger physical players has also

translated into a number of replacement deals. We
believe that a particularly interesting bifurcation in this
www.navita.com 8 - MARKET OUTLOOK

Annual Report 2009
Strategy
NAVITA’s strategic focus is to provide best-of-breed solutions for both physical and financial
energy markets. Our strategic goal of establishing a top 3 position globally within key verticals,
including power, gas, and emissions / carbon, remains firm.
In addition, NAVITA will continue to serve the financial develop into trusted and knowledgeable advisors by
markets within all commodity verticals, with a clear providing them with the knowledge and tools they
focus on cross-commodity capabilities. NAVITA’s need to address our clients’ challenges; and iii) give
strategic positioning, which is targeted at mid-tier our most challenging clients direct access to Navita’s
opportunities plus selected top-tier opportunities, of executive management, thereby creating an immediate
‘providing 90% of functionality, for 50% of the price, feedback loop from the market to Navita’s manage-
in 25% of the time, with 100% functional coverage’ ment.
also remains solidly intact. Moreover, this strategic
positioning has been complemented with a dedicated Fourth, we will actively engage in the competition for
effort to respond to the particular business needs of top-notch talent, typically from key energy trading
large industry leaders with worldwide presence and clusters worldwide, including London, Houston, and
aggressive aspirations in the global energy markets. Oslo. We will also start to tap into the outstanding
talent pool and exceptional technology coming in
Looking forward, and to ensure that we achieve our through the National Center of Expertise (NCE) in
profitability, growth, and customer satisfaction aims, in Halden, Norway. NCE is a governmental designation
2010 we will focus on five strategic initiatives: given to top-notch research centers in Norway. NCE
Halden is a joint academia / industry center of
First, we will streamline the organisation with a expertise in the area of energy trading of which Navita
particular focus on rationalising our product portfolio is a founding industry partner.
and continue to build up a global delivery organisation
comprised of internal and external delivery resources, a Fifth, after a year of highly successful consolidation in
global support organisation with 24/7 support 2009 and a NOK 20m+ EBITDA improvement, we will
capability, and a QA & Release Management function start to aggressively grow the business in 2010. This
that fully lives up to what our most challenging will take place in three dimensions:
customers expect from us. i) geographically, with a focus on North American
power, German-speaking Europe, and Eastern Europe;
Second, we will increase the attractiveness and ii) commodity-wise, with a focus on European gas; and
robustness of our technology platform and align with iii) delivery-wise, with a focus on new delivery models
key technology trends through completing our .NET like SaaS (Software as a Service), as exemplified by
migration, further improve workflow functional- POMAX Freight Lite, our new SaaS-based, entry-level
ity based upon Microsoft Workflow Foundation, and offering for mid-tier players in the maritime freight
further increase the performance and scalability of our derivatives markets.
unique time series engine. This initiative will be
complemented with continued focus on partner In addition, we will prudently build partner-based
certification programmes with key technology business, as exemplified in our recent partnership with
providers, as testified by our recent certifications as market-leading CubeLogic in the area of cube
Oracle solution partner, Microsoft Gold Certified technology and credit risk, and business in certain
Partner, and Reuters Solution Partner. We will, as part growth markets, including Russia and India.
of this initiative, also expand our functional footprint
through the inclusion of sub-hourly capabilities. The aim of these strategic initiatives is a solid
technological, functional, and organisational platform
Third, we will build relevance for current and for future profitability, growth, and customer
prospective top-tier clients through three mechanisms: satisfaction; an effort initiated last year but which will
i) deploy our best technical and functional people on continue in 2010 testifying to our firm ambition of and
client sites through so-called customer partnership steady course towards establishing a top 3 global
agreements; ii) ensure that our account managers position for Navita.
9 - STRATEGY HALDEN LO S A N G E L E S TO RO N TO LO N D O N E D I N B U RG H O S LO S TO C K H O L M
Annual Report 2009
Our customers
We acquired a significant number of new customers in 2009, and witnessed a number of existing
customers go into production in 2009. Below is a presentation of a selected few of key projects in
2009. These projects have been selected because they allow us to demonstrate the breadth of our
offerings, presented us with novel challenges, or in other ways represented sources of
organisational learning:
GdF Suez
Paris, France
GDF SUEZ is one of the leading energy providers in the world, with activities across the entire energy value chain, in
electricity and natural gas, and upstream to downstream. GDF SUEZ relies on diversified supply sources as well as
flexible and highly efficient power generation in order to provide energy solutions to individuals, cities and
businesses. The Group employs 200,650 people worldwide and achieved revenues of €79.9 billion in 2009.
When the Global Gas & LNG business line needed a system to perform risk metrics calculations while seamlessly inte-
grating into a complex systems architecture, they chose to contract with Navita for the installation of POMAX.
The system went into production in April 2009.
Romain Rochas, Market and Credit Risk Management IT Manager, said :

“Considering the multi-dimensional exposure to risk a group such as GDF SUEZ faces on a daily basis, we needed a product
robust enough to handle large amounts of data and interface with systems used in other parts of the business. A product
also capable of performing complex calculations and generating detailed reports in a timely manner. As of today, we can
say that POMAX has managed to deliver on all fronts.”
For more information about GdF Suez, see www.gdfsuez.com.
Mercuria
Geneva, Switzerland and Houston, Texas:
The Mercuria Energy Group is an international group of companies active over a wide spectrum of global energy
markets including crude oil and refined petroleum products, natural gas, power, coal, biodiesel, vegetable oils and
carbon emissions. The Mercuria group is one of the world’s five largest independent energy traders. In addition to its
trading core, the group has upstream and downstream assets ranging from oil in the ground in California, Canada and
Argentina to oil and products terminals in Europe and China, and a biofuels plant in Germany.
Mercuria in Geneva has been a Navita client for some time, and when Mercuria decided to set up a trading desk in
Houston, they chose to deploy POMAX as their ETRM system. The system successfully went into production on October
2009.
Chris Mudry, Chief Risk Manager, said:

“We were initially in some doubt about whether we wanted to deploy in Houston our ETRM solution for European power.
However, considering Navita’s existing familiarity with Mercuria’s processes and activities, we decided yes.
A highly-qualified blueprinting team with considerable ETRM consulting experience was assembled by Navita and the
system successfully went into production after a 3-4 months project.”
For more information about Mercuria, see www.mercuria.com.
www.navita.com 10 - OUR CUSTOMERS

Annual Report 2009
Romande Energie
Morges, Switzerland
Fifth largest electricity distributor in Switzerland, Romande Energie reaches 260 000 residential and business
customers. Romande Energie is active in production, grid management and commercialisation. While historically
focused on the Vaud country and the lower Valais, the company is ideally positioned to cover the French part of
Switzerland.
It sources most of its electricity from a dozen of its own hydroelectric plants, a few renewable energy sources, and EOS,
the major supplier in Western Switzerland, in which it has a shareholding of just under 30%. When Romande Energie
needed a system for physical power trading, they chose to contract with Navita for the installation of POMAX.
The system went into production in January 2009.
Jean-Pierre Mitard, CEO of Romande Energie Commerce, said:

“Considering the complexity of our portfolio and the difficulties that most companies meet in the implementation of an
ETRM system, we were originally quite skeptical to whether NAVITA would be able to deliver the configuration and set-up
of POMAX in such a short timeframe. Less than 6 months after the launch of the project, we reached our objectives of
being fully operational within the promised timeframe and within the budget”.
For more information about Romande Energie, see www.romande-energie.ch.
11 - OUR CUSTOMERS HALDEN LO S A N G E L E S TO RO N TO LO N D O N E D I N B U RG H O S LO S TO C K H O L M

2008 2009 Note 2009 2008
Annual Report 2009
Income Statement
Parent company Group
2008 2009 Note 2009 2008
OPERATING REVENUE
75 192 109 89 577 712 Sales 8,28 100 647 128 94 301 661
0 0 Other operating revenue 3 285 0
75 192 109 89 577 712 TOTAL OPERATING REVENUE 100 650 413 94 301 661
OPERATING EXPENSES
1 271 828 3 885 866 Cost of Sales 4 537 306 2 028 449
27 216 747 28 644 140 Personnel expenses 20,21,23,24,26 58 554 250 58 158 380
59 716 236 52 974 552 Other operating expenses 22,23,25,26 30 658 107 43 569 941
88 204 811 85 504 558 TOTAL OPERATING EXPENSES 93 749 663 103 756 770
-13 012 702 4 073 154 EBITDA 6 900 750 -9 455 109
4 705 615 5 544 476 Depreciation 12 5 881 818 5 001 277
-17 718 317 -1 471 322 EBIT 1 018 932 -14 456 386
FINANCIAL INCOME AND COST

189 325 41 692 Interest income 48 166 311 679
5 930 070 2 484 296 Other financial income 2 485 465 6 297 661
515 335 80 161 Income from inv. in group comp. 28 0 0
665 606 447 903 Interest expenses 28 432 568 648 608
4 271 359 2 669 471 Other financial expenses 2 703 712 4 307 045
1 697 765 -511 225 NET FINANCIAL PROFIT -602 649 1 653 687
-16 020 552 -1 982 547 PROFIT BEFORE TAXES 416 283 -12 802 699
3 316 202 0 Income tax expense 19 691 367 4 195 610
-19 336 754 -1 982 547 NET PROFIT 27 -275 084 -16 998 309
OTHER COMPREHENSIVE INCOME

0 0 Exchange differences -919 922 -209 598
0 0 NET OTHER COMPREHENSIVE INCOME -919 922 -209 598
-19 336 754 -1 982 547 TOTAL COMPREHENSIVE INCOME FOR THE YEAR -1 195 006 -17 207 907
TRANSFERS
-19 336 754 -1 982 547 Allocated to retained earnings
-19 336 754 -1 982 547 TOTAL TRANSFERS
www.navita.com 12- INCOME STATEMENT

Annual Report 2009
Balance Sheet
Parent company Assets Group
2008 2009 Note 2009 2008
FIXED ASSETS
0 0 Goodwill 11,13 17 642 581 17 642 581
34 758 705 34 421 634 Capitalized development cost 10,13 34 421 634 34 758 705
0 0 Deferred income tax assets 19 107 406 150 357
322 710 116 097 Operating equipment 9,29 420 535 913 782
25 723 770 25 723 770 Shares in subsidiaries 5 0 0
27 126 24 297 Other long term receivables 24 297 27 126
60 832 311 60 285 798 TOTAL FIXED ASSETS 52 616 453 53 492 551
CURRENT ASSETS
9 026 820 11 255 570 Trade receivables 14,28,29 15 065 933 11 767 871
11 608 730 5 901 699 Other short term receivables 14,28,29 7 995 882 14 073 225
5 880 324 5 502 864 Cash and cash equivalents 15 9 118 170 11 256 634
26 515 874 22 660 133 TOTAL CURRENT ASSETS 32 179 985 37 097 730
87 348 185 82 945 931 TOTAL ASSETS 84 796 438 90 590 281
13- BALANCE SHEET HALDEN LO S A N G E L E S TO RO N TO LO N D O N E D I N B U RG H O S LO S TO C K H O L M

Annual Report 2009
Balance Sheet
Parent company Equity and liabilities Group
2008 2009 Note 2009 2008
EQUITY
Subscribed equity
1 441 192 1 441 192 Share capital 16,24,27 1 441 192 1 441 192
0 0 Non registered capital 16 0 0
80 127 612 80 127 612 Share premium fund 16 80 127 612 80 127 612
81 568 804 81 568 804 Total subscribed equity 81 568 804 81 568 804
Retained equity
-28 716 104 -30 657 808 Retained earnings -27 297 146 -26 142 983
-28 716 104 -30 657 808 Total retained equity -27 297 146 -26 142 983
52 852 700 50 910 996 TOTAL EQUITY 54 271 658 55 425 821
LONG TERM LIABILITIES

0 0 Deferred income tax liability 35 735 11 680
7 443 333 4 716 667 Other long term liablities 18,28,29 4 716 667 7 443 333
7 443 333 4 716 667 TOTAL LONG TERM LIABILITIES 4 752 402 7 455 013
CURRENT LIABILITIES
11 733 975 9 909 309 Trade payables 28 2 221 951 5 742 017
0 0 Payable tax 19 605 456 823 264
3 937 277 3 735 041 Public duties payable 5 306 086 6 192 986
11 380 900 13 673 918 Other current liabilities 17 17 638 885 14 951 180
27 052 152 27 318 268 TOTAL CURRENT LIABILITIES 25 772 378 27 709 447
87 348 185 82 945 931 TOTAL EQUITY AND LIABILITIES 84 796 438 90 590 281
Halden, March 3rd, 2010
Knut H. Johansen Per Bakseter Harald Jeremiassen

CEO / Board Member Chairman Board Member
Erik Åsberg Sigurd Moe Paulsen

Employee Representative Board Member
www.navita.com 14- BALANCE SHEET

Annual Report 2009
Statement of Cash Flow

The statement of cash flow is a systematic overview that shows how the company has received
and used cash and cash equivalents during the year. The statement of cash flow is supposed to
present the development of operation, investment and financing during the periods.
Parent company Group
2008 2009 2009 2008
Cash flow from operational activities

-16 020 552 -1 982 546 Operating result before tax 416 282 -12 802 699
0 0 Paid Taxes -823 264 -1 298 677
4 705 615 5 544 476 Depreciation 5 881 818 5 001 277
-5 321 646 0 Changes in pension obligations 0 -5 321 646
10 779 0 Loss on disposals of operating equipment 11 741 10 779
5 977 40 843 Cost of options granted to employees 40 843 5 977
2 679 963 -2 228 750 Changes in receivables -3 771 671 4 296 805
6 869 130 -1 824 666 Changes in trade payables -3 511 199 2 636 750
3 053 017 7 800 642 Changes in other current assets/debt items 7 711 492 1 942 983
-4 017 717 7 349 999 Net cash flow from operational activities 5 956 041 -5 528 452
Cash flow from investment activities

-87 851 0 Purchase of operating equipment -119 945 -537 311
-4 984 926 -5 000 793 Purchase of intangible assets -5 000 793 -4 984 926
0 0 Purchase of group companies 0 0
-5 072 777 -5 000 793 Net cash flow from investment activities -5 120 738 -5 522 237
Cash flow from financial activities

3 360 000 0 Raise of long term debt 0 3 360 000
-1 750 000 -2 726 666 Payment of long term debt -2 726 666 -1 750 000
181 966 0 Issue of shares 0 181 966
1 791 966 -2 726 666 Net cash flow from financial activities -2 726 666 1 791 966
-7 298 528 -377 460 Net changes in cash and cash equivalents -1 891 363 -9 258 723
0 0 Foreign exchange changes -247 101 350 749
13 178 852 5 880 324 Cash and cash equivalents 01.01 11 256 634 20 164 607
5 880 324 5 502 864 Cash and cash equivalents 31.12 9 118 170 11 256 634
15 - STATEMENT OF CASH FLOW HALDEN LO S A N G E L E S TO RO N TO LO N D O N E D I N B U RG H O S LO S TO C K H O L M

Annual Report 2009
Statement of Changes in Equity

Share Capital Non registered Share premium Other Equity Total Equity
Parent Company Capital fund
Equity 01.01.2008 1 209 546 15 981 832 64 195 460 -9 385 327 72 001 511
Registration of raise of capital 66 517 -15 981 832 15 932 152 0 16 837
Raise of capital 165 129 0 0 0 165 129
Options granted to employees 0 0 0 5 977 5 977
Net profit 0 0 0 -19 336 754 -19 336 754
Equity 31.12.2008 1 441 192 0 80 127 612 -28 716 104 52 852 700
Equity 01.01.2009 1 441 192 0 80 127 612 -28 716 104 52 852 700
Net profit 0 0 0 -1 982 546 -1 982 546
Equity 31.12.2009 1441 192 0 80 127 612 -30 657 808 50 910 996
Share Capital Non registered Share premium Other Equity Total Equity
Group Capital fund
Equity 01.01.2008 1 209 546 15 981 832 64 195 460 -8 941 053 72 445 785
Registration of raise of capital 66 517 -15 981 832 15 932 152 0 16 837
Raise of capital 165 129 0 0 0 165 129
Currency translation differences 0 0 0 -209 598 -209 598
Net profit 0 0 0 -16 998 309 -16 998 309
Equity 31.12.2008 1 441 192 0 80 127 612 -26 142 983 55 425 821
Equity 01.01.2009 1 441 192 0 80 127 612 -26 142 983 55 425 821
Currency translation differences 0 0 0 -919 922 -919 922
Net profit 0 0 0 -275 085 -275 085
Equity 31.12.2009 1441 192 0 80 127 612 -27 297 147 54 271 657
www.navita.com 16 - STATEMENT OF CHANGES IN EQUITY

Annual Report 2009
Notes to the Financial Statement

Note 1 - General information
Navita Systems AS and its subsidiaries develop, sell and implement software solutions
for physical and financial trading of electricity, freight and other raw materials, settlement
systems for energy stock exchanges and logistic solutions for gas. In addition the Group
delivers consultancy services within the same markets. Its main deliveries are to the Nor-
dic Counties, Great Britain and North America. Navita Systems AS is a Norwegian company,
with its main office in Halden. For an overview of the subsidiaries see note 5. These con-
solidated financial statements have been approved for issue by the Board of Directors on
March 3rd 2010.
Note 2 - Summary of significant accounting policies
2.1 Basis of preparation

The consolidated financial statements of the Navita The purchase method of accounting is used to account
Group have been prepared in accordance with for the acquisition of subsidiaries by the Group. The
International Financial Reporting Standards (IFRS). cost of an acquisition is measured as the fair value of
The consolidated financial statements have been the assets given, equity instruments issued and
prepared under the historical cost convention.The liabilities incurred or assumed at the date of exchange,
preparation of financial statements in conformity with plus costs directly attributable to the acquisition.
IFRS requires the use of certain critical accounting Identifiable assets acquired and liabilities and
estimates. It also requires management to exercise its contingent liabilities assumed in a business combina-
judgement in the process of applying the Company’s tion are measured initially at their fair values at the
accounting policies. Areas involving a higher degree of acquisition date, irrespective of the extent of any
judgement or complexity, or areas where assumptions minority interest. The excess of the cost of acquisition
and estimates are significant to the consolidated over the fair value of the Group’s share of the
financial statements, are disclosed in note 6. identifiable net assets acquired is recorded as goodwill.
If the cost of acquisition is less than the fair value of the
2.2 Consolidation net assets of the subsidiary acquired, the difference is
Subsidiaries are all entities (including special purpose recognised directly in the income statement.
entities) over which the Group has the power to govern
the financial and operating policies generally Inter-company transactions, balances and unrealised
accompanying a shareholding of more than one half of gains on transactions between group companies are
the voting rights. The existence and effect of potential eliminated. Unrealised losses are also eliminated but
voting rights that are currently exercisable or considered an impairment indicator of the asset
convertible are considered when assessing whether the transferred. Accounting policies of subsidiaries have
Group controls another entity. Subsidiaries are fully been changed where necessary to ensure consistency
consolidated from the date on which control is with the policies adopted by the Group.
transferred to the Group. They are de-consolidated
from the date that control ceases.
See note 5 for an overview of subsidiaries.
17 - NOTES TO THE FINANCIAL STATEMENT HALDEN LO S A N G E L E S TO RO N TO LO N D O N E D I N B U RG H O S LO S TO C K H O L M

Annual Report 2009
2.3 Foreign currency translation Gains and losses on disposals are determined by
(a) Functional and presentation currency comparing proceeds with carrying amount. These are
Items included in the financial statements of each of included in the income statement.
the Group’s entities are measured using the currency of
the primary economic environment in which the entity 2.5 Intangible assets
operates (‘the functional currency’). The consolidated Research and development
financial statements are presented in NOK, which is the Development cost of products witch can be measured
Company’s functional and presentation currency. with reliability and that probably will generate future
economic benefits is capitalised and depreciated.
(b) Transactions and balances Research on new products and maintenance of
Foreign currency transactions are translated into the existing products is expensed as incurred. Costs which
functional currency using the exchange rates prevailing is capitalised contains internal payroll costs and
at the dates of the transactions. Foreign exchange gains external assistance. Public grants regarding capitalized
and losses resulting from the settlement of such products reduces the capitalized amount.
transactions and from the translation at year-end
exchange rates of monetary assets and liabilities The cost per hour used for measurement of
denominated in foreign currencies are recognised in capitalized development cost is calculated on a basis
the income statement. of total direct costs divided on total hours. In addition
as direct costs from external consultants working on
(c) Group companies developing products capitalized.
The results and financial position of all the group
entities that have a functional currency different from Capitalised development cost is depreciated over
the presentation currency are translated into the the period the products is excepted to give economic
presentation currency as follows: benefits. The asset’s residual values and useful lives are
(i) assets and liabilities for each balance sheet reviewed, and adjusted if appropriate, at each balance
presented are translated at the closing rate at the date sheet date. An asset’s carrying amount is written down
of that balance sheet. immediately to its recoverable amount if the asset’s
(ii) income and expenses for each income statement are carrying amount is greater than its estimated
translated at average exchange rates . recoverable amount.
(iii) all resulting exchange differences are recognised as
a separate component of equity. Goodwill
Goodwill represents the excess of the cost of an
2.4 Operating equipment acquisition over the fair value of the Group’s share of
All machinery and equipment is stated at historical cost the net identifiable assets of the acquired subsidiary at
less depreciation. Historical cost includes expenditure the date of the acquisition. Goodwill on acquisition of
that is directly attributable to the acquisition of the subsidiaries is included in intangible assets. Recognised
items. Subsequent costs are included in the asset’s goodwill is tested annually for impairment and carried
carrying amount or recognised as a separate asset, at cost less accumulated impairment losses.
as appropriate, only when it is probable that future Impairment losses on goodwill are not reversed. Gains
economic benefits associated with the item will flow and losses on the disposal of an entity include the
to the Group and the cost of the item can be measured carrying amount of goodwill relating to the entity sold.
reliably. All other repairs and maintenance are charged Goodwill is allocated to cash-generating units for the
to the income statement during the financial period in purpose of impairment testing. The allocation is made
which they are incurred. to those cash-generating units or groups of
cash-generating units that are expected to benefit from
Depreciation on all assets is calculated using the the business combination in which the goodwill arose.
straight-line method to allocate their cost or revalued
amounts to their residual values over their estimated 2.6 Impairment of non-financial assets
useful lives. Operating equipment and intangible assets with
definite useful life are reviewed for impairment when-
The asset’s residual values and useful lives are ever events or changes in circumstances indicate that
reviewed, and adjusted if appropriate, at each balance the carrying amount may not be recoverable. An
sheet date. An asset’s carrying amount is written down impairment loss is recognised for the amount by which
immediately to its recoverable amount if the asset’s the asset’s carrying amount exceeds its recoverable
carrying amount is greater than its estimated amount. The recoverable amount is the higher of an
recoverable amount. asset’s fair value less costs to sell and value in use.
www.navita.com 18 - NOTES TO THE FINANCIAL STATEMENT

Annual Report 2009
For the purposes of assessing impairment, assets are no further payment obligations once the contributions
grouped at the lowest levels for which there are sepa- have been paid. The contributions are recognised as
rately identifiable cash flows (cash-generating units). employee benefit expense when they are due. Prepaid
Non-financial assets other than goodwill that suffered contributions are recognised as an asset to the extent
an impairment are reviewed for possible reversal of the that a cash refund or a reduction in the future payments
impairment at each reporting date. is available.
2.7 Trade receivables The change resulted in a cost reduction of MNOK

Trade receivables are recognised at fair value, less 5.321.646 in 2008 because of a reversal of the recog-
provision for impairment. A provision for impairment of nised pension obligation, and a reduction of personell
trade receivables is established when there is objective expenses.
evidence that the Group will not be able to collect all
amounts due according to the original terms of re- (b) Share-based compensation
ceivables. Significant financial difficulties of the debtor, The Group operates an equity-settled, share-based
probability that the debtor will enter bankruptcy or compensation plan. The fair value of the employee
financial reorganisation, and default or delinquency services received in exchange for the grant of the op-
in payments are considered indicators that the trade tions is recognised as an expense. The total amount to
receivable is impaired. The amount of the provision is be expensed over the vesting period is determined by
recognised in the income statement. reference to the fair value of the options granted. At
each balance sheet date, the entity revises its estimates
2.8 Cash and cash equivalents of the number of options that are expected to become
Cash and cash equivalents includes cash in hand and exercisable. It recognises the impact of the revision of
deposits held at call with banks. original estimates, if any, in the income statement, with
a corresponding adjustment to equity.
2.9 Taxes
Tax expense on the income statement includes payable The proceeds received net of any directly attributable
taxes and the change in deferred tax for the period. The transaction costs are credited to share capital (nomi-
change in deferred tax reflects the future payable taxes nal value) and share premium when the options are
resulting from the current year’s activities. Deferred exercised.
tax is based on accumulated profit, but which will be
payable in subsequent accounting periods. Deferred tax (c) Profit-sharing and bonus plans
is calculated on net tax-increasing differences between The Group recognises a liability and an expense for
the balance sheet items used for accounting purposes bonuses and profit-sharing, based on a formula that
and those used for taxation purposes, adjusted for takes into consideration the profit attributable to the
deductible temporary tax differences and tax losses Company’s shareholders after certain adjustments.
carried forward according to the liability method. The Group recognises a provision where contractually
obliged or where there is a past practice that has cre-
Deferred tax assets are only capitalised to the extent ated a constructive obligation.
that it is probable that there will be future taxable
income available for reducing the difference. Deferred 2.11 Revenue recognition
tax assets are assessed for each period and will be Production contracts/system deliveries
reduced if it is no longer probable that the deferred tax The Group’s main business objective is to develop and
asset can be used. manufacture products and systems based on orders
received. The processed value of the work in progress
2.10 Employee benefits is recognised as operating revenue. Uninvoiced work in
(a) Pension obligations progress is reported on the balance sheet under ‘Other
Navita Systems AS changed from a defined benefit short term receivables’. Work in progress is stipulated
pension plan to a defined contribution plan as of as incurred production costs plus a proportional share
01.07.2008. All the subsidiaries in the Group also have of the estimated contract profit. Production costs in-
defined contribution plans. A defined contribution plan clude direct wages, direct materials and a proportional
is a pension plan under which the Group pays fixed share of the individual business areas’ indirect costs,
contributions into a separate entity. The Group has no while general development costs, sales costs and com-
legal or constructive obligations to pay further contri- mon administrative costs are not included in production
butions if the fund does not hold sufficient assets to costs.
pay all employees the benefits relating to employee The estimated accrued contract profit shall not exceed a
service in the current and prior period. The Group has proportional share of the estimated total contract prof-

Annual Report 2009
it. The proportional share of the contract profit is based liabilities related to normal operating cycles or that fall
on the degree of completion of the individual contract, due within 12 months are classified as current liabili-
which is largely determined by the costs incurred as a ties. Other liabilities are classified as non-current.
ratio of the expected overall costs at the time of valu-
ation. If the profit on a contract cannot be estimated 2.16 Segments
with a reasonable degree of certainty, the project will The Group is organised as one operational segment,
be recognised without a profit until the uncertainty is and reporting is done based on consolidated figures.
manageable. All projects are followed up on an ongoing The Group does a split of sales based on product groups
basis with project costings. Where a costing anticipates and geography. Note 8 contains segmentreporting of
a loss on the remainder of a project, it will be expensed the groups sales, which is prepared in accordance to IAS
immediately in its entirety. 14 Segment reporting.
Licence revenues 2.17 Net profit per share

The Group also sells licences for the use of software The Group presents ordinary earnings per share and
systems. Licence revenues are normally recognised as earnings per share after dilution. Ordinary earnings per
revenue in their entirety when the system is delivered. share are calculated as the ratio between the net profit/
In the cases that involve adaptations or additional work, (loss) for the year that accrues to the ordinary share-
the total contract amount including consideration for holders and the weighted average number of shares
the licences is recognised as revenue in at the same outstanding. The figure for diluted earnings per share
pace as deliveries, as described under ‘Production is the result that accrues to the ordinary shareholders,
contracts’. and the number of weighted average number of shares
outstanding has been adjusted for all diluting effects
Other services related to share options.
Consultancy, maintenance and service/support are
recognised as revenue incrementally as the service is
performed or on a straight-line basis during the period
in which the service is performed. Note 3 - Financial risk management
2.12 Leases Financial risk factors

Leases in which a significant portion of the risks and The Group’s activities expose it to a variety of financial
rewards of ownership are retained by the lessor are risks: currency risk, credit risk and interest rate risk. The
classified as operating leases. Payments made under Group has not used derivative financial instruments
operating leases (net of any incentives received from to hedge certain risk exposures. Risk management is
the lessor) are charged to the income statement on a carried out under policies approved by the Board of
straight-line basis over the period of the lease. Directors.
2.13 Borrowing costs Currency risk

Borrowing costs are expensed in the same period as The Group operates internationally and is exposed to
accrued. foreign exchange risk arising from various currency ex-
posures. Foreign exchange risk arises when future com-
2.14 Provisions mercial transactions or recognised assets or liabilities
Provisions are recognised when the Group has an are denominated in a currency that is not the entity’s
obligation as a result of past events, and when it is functional currency.
probable that there will be a financial settlement as a
result of this obligation and the amount can be meas- Credit risk
ured reliably. Generally speaking, provisions are based The Group has no significant concentrations of credit
on historical data and a weighting of possible outcomes risk. It has policies in place to ensure that wholesale
against the probability they will occur. If the time value sales of products and services are made to customers
is significant, the provision will be the net present with an appropriate credit history.
value of the amount expected to be required to meet
the obligation. Interest rate risk
As the Group has no significant interest-bearing assets,
2.15 Classification the Group’s income and operating cash flows are sub-
Assets related to normal operating cycles or that fall stantially independent of changes in market interest
due within 12 months are classified as current assets. rates. The Group’s interest rate risk arises from
Other assets are classified as non-current. Similarly, long-term loans. The loan is issued in Norway at

Annual Report 2009
variable rates, and exposes the Group to changes in the

market interest rate in Norway.
Note 4 - Changes in the Group’s structure
There were no changes in the Group’s structure in 2009 or 2008.
Note 5 - List of subsidiaries
The following subsidiaries are included in the consolidated financial statements:
Company Country Main operations Cost of shares Ownership share Voting share
Navita Systems (US) Inc. USA Product sale/-deliveries 6 039 100% 100%
Navita Systems (Can) Inc. Canada Product sale/-deliveries 5 100% 100%
Navita Consulting AS Norway Consultants 2 719 501 100% 100%
Navita UK Ltd. England Product sale/-deliveries 2 286 370 100% 100%
Navita Scotland Ltd. Scotland Product sale/-deliveries 20 711 855 100% 100%
Total: 25 723 770
Note 6 - Estimation uncertainty
In the process of applying the Group’s accounting policies in according to IFRS, management has made several
judgements and estimates. All estimates are assessed to the most probable outcome based on the managements best
knowledge. Changes in key assumptions may have significant effect and may cause material adjustments to the
carrying amounts of assets and liabilities, equity and the net result.
The company’s most important accounting estimates is the following item:

Write-down/reversal of goodwill and other intangible fixed assets and of tangible fixed assets.
The company tests annually whether goodwill or intangible assets has suffered any impairment in accordance with IAS
36. The impairment tests are shown in note 13.
The company’s recognised goodwill and licence values are assessed annually with regard to impairment or a reversal
of previous impairments.
Note 7 - Exchange rates
The following exchange rates were used in the consolidated financial statements:
Currency 31.12.2009 31.12.2008 Average 2009 Average 2008
American Dollar (USD) 5,7767 6,9989 6,2816 5,6361

Canadian Dollar (CAD) 5,5026 5,7744 5,5068 5,2741
British Pound (GBP) 9,3170 10,1210 9,8050 10,3300

Annual Report 2009
Note 8 - Information by segment
Financial reporting in the group is based upon consolidated figures. Sales, based on type of product and allocation of
the customer, are specified.
Product segment:
The products are split into the following groups:
Parent Company Group

Sales 2009 2008 2009 2008
Licenses 12 269 245 17 976 798 12 360 295 21 484 798

Support and maintenance 26 814 239 21 807 306 34 365 240 27 631 772
Customer projects 35 064 300 11 312 361 28 648 020 14 590 361
Consultancy 195 450 360 151 4 064 650 6 385 168
Other revenue 15 234 478 23 735 493 21 208 923 24 209 562
Total 89 577 712 75 192 109 100 647 128 94 301 661
Geographical segment:
Sales are allocated based on the country in which customers are located. Sales are mainly in Noway, Sweden and
North America.
Sales 2009 2008 2009 2008
Europe 64 504 328 64 683 459 84 974 288 85 544 536

North America 11 375 980 5 717 594 13 750 524 6 680 060
Others 1 815 488 1 891 065 1 922 316 2 077 065
Internally 11 881 916 2 899 991 0 0
Total 89 577 712 75 192 109 100 647 128 94 301 661

Annual Report 2009
Note 9 - Operating Equipment
Parent Company Operating equipment
Cost 1.1.2009 1 331 286

Additions 0
Disposals 0
Cost 31.12.2009 1 331 286
Accumulated depreciation 1.1.2009 1 008 577

Depreciation charge 206 612
Accumulated depreciation disposals 0
Net book amount 31.12 2009 116 097
Economic lifetime 3-5 years
Group Operating equipment
Cost 1.1.2009 3 202 445

Exhange differences -167 111
Additions 119 945
Disposals -63 066
Cost 31.12.2009 3 092 213

Exchange differences -99 474
Depreciation charge 543 954
Accumulated depreciation disposals -61 465
Net book amount 31.12.2009 420 535
Economic lifetime 3-5 years

Annual Report 2009
Note 10 - Capitalised development cost

Parent Company Acquisition of ETS Internally generated Total
Cost 1.1.2009 10 000 000 31 400 620 41 400 620

Additions 0 5 000 793 5 000 793
Disposals 0 0 0
Cost 31.12.2009 10 000 000 36 401 413 46 401 413
Accumulated depreciation 1.1.2009 2 416 667 4 225 248 6 641 915

Depreciation charge 1 000 000 4 337 864 5 337 864
Net book amount 31.12.2009 6 583 333 27 838 301 34 421 634
Economic lifetime 10 years 5-10 years 5-10 years
Group Acquisition of ETS Internally generated Total
Cost 1.1.2009 10 000 000 31 400 620 41 400 620

Additions 0 5 000 793 5 000 793
Disposals 0 0 0
Cost 31.12.2009 10 000 000 36 401 413 46 401 413

Depreciation charge 1 000 000 4 337 864 5 337 864
Net book amount 31.12.2009 6 583 333 27 838 301 34 421 634
Economic lifetime 10 years 5-10 years 5-10 years
Capitalised development costs are depreciated over the useful life of the products. Expected income on capitalised
development costs and book value are tested for impairment at the time of the balance sheet, and written-off if
necessary, see note 13.
As of 31.12.2009 of NOK 34.421.634 of the total capitalised development costs regard products that are
commercialised and are available on the market (NOK 34.758.705 in 2008).
Note 11 - Goodwill
Group Navita Cons. AS Navita UK Ltd. Navita Scotland Ltd. Total
Cost 1.1.2009 1 898 346 2 069 571 15 573 010 19 540 927
Additions 0 0 0 0
Disposals 0 0 0 0
Cost 31.12.2009 1 898 346 2 069 571 15 573 010 19 540 927
Accumulated depreciation 1.1.2009 1 898 346 0 0 1 898 346

Depreciation charge 0 0 0 0
Accumulated depreciation 31.12.2009 1 898 346 0 0 1 898 346
Net book amount 31.12.2009 0 2 069 571 15 573 010 17 642 581
Goodwill is subject to depreciation, but is tested for impairment at least one time during the year, see note 13.

Annual Report 2009
Note 12 - Depreciation
Parent Company 2009 2008
Operating equipment (see note 9) 206 613 331 585

Capitalized development cost (see note 10) 5 337 864 4 374 030
Total 5 544 477 4 705 615
Group 2009 2008
Operating equipment (see note 9) 543 954 627 247

Capitalized development cost (see note 10) 5 337 864 4 374 030
Goodwill (see note 11) 0 0
Total 5 881 818 5 001 277
Note 13 - Impairment test of goodwill and intangible assets

Recognised goodwill in the Navita Group as of 31.12.2009 amounted to MNOK 17,64 (MNOK 17,64 in 2008). The
Goodwill originated mainly from the acquisition of Navita Scotland Ltd (former Advantage Energy Solutions Ltd) in
Edinburgh, Scotland which was completed in 2007.
Recognised capitalised development costs in the Group as of 31.12.2008 amounted to MNOK 34,42 (MNOK 34,76 in
2008). These are mainly modules to POMAX and new technical solutions regarding POMAX.
The Group as a whole is considered to be the only cash generating unit (CGU) since there is no possibility to isolate and
measure the cash flow for any of the units or the products alone.
The impairment test is carried out by the Group’s accountanting department. The valuation was done in December
2009. The recoverable amount is set at the estimated value in use. The value in use is estimated as the net present
value of anticipated cash flows before tax, using a discount rate taking into account the duration of the cash flows and
the expected risk. Projected cash flows have been determined on financial budget approved by the management of the
Group. The cash flows are determined based upon the financial budget for 2010.
The following assumptions are used in the impairment tests:

• A continuing growth of the Group’s market share in the total market of 12% annually for the first 5 years, is
expected, and thereafter a reduction in year 6, because some products are not expected to have an economic
lifetime linger than 5 years. Thereafter, revenue growth continues at 12% in year 7 to year 10 of the expected
cash flows.
• An improvement of the EBITDA margin of 10% is expected, and that EBITDA thereafter will remain stable.
• The discount rate used for calculating the net present value of cash flows is 20,0%. This is based on a risk free rate
of 5,0% and a risk premium of 15%. The risk premium is based on uncertainty regarding the expected growth.
Sensitivity at changes in the key assumptions

As of 31.12.2008 goodwill and capitalised development costs in use amounted to MNOK 67,67, compared to a total
booked value of MNOK 52,06. An analysis of sensitivity based on reasonable possible changes in the key assumptions
regarding growth and margins shows the following reduction of value (amounts in MNOK) with following write-down
of goodwill and capitalised development cost (amounts in MNOK):
Growth: EBITDA Value in use Write down

11 % 10 % 65,56 N/A
10 % 10 % 63,54 N/A
12 % 9% 61,93 N/A
12 % 8% 56,19 N/A
11 % 9% 60,03 N/A
10 % 8% 52,89 N/A

Annual Report 2009
Note 14 - Trade receivables and other short term receivables
Trade receivables
In 2009, NOK 300.000 as provisions for bad debt for the Parent Company and the Group (NOK 300.000 in 2008) were
booked. Trade receivables as of 31.12.2009 and 31.12.2008 were booked at fair value, less provisions for bad debt,
with NOK 11.255.570 and NOK 9.026.820 for the Parent Company and NOK 14.276.361 and NOK 11.767.871 for the
Group.Booked losses on trade receivables was NOK 0 in 2009 and NOK 366.692 in 2008 in the parent company. In the
Group booked losses on trade receivebles was NOK 0 in 2009 and NOK 1.336.297 in 2008.

Other short term receivables 2009 2008 2009 2008
Accrued income 4 035 198 10 561 045 5 877 020 12 573 039
Group contribution 80 161 515 335 0 0
Other Group receivables 984 298 156 369 0 0
Pre paid costs 757 594 13 865 1 723 041 1 054 223
Other 44 448 362 116 395 821 445 963
Total 5 901 699 11 608 730 7 995 882 14 073 225
Note 15 - Cash and cash equivalents

This note details the proportion of cash in the Company which is related to its tax account. This money is Company
payroll tax and is unavailable to fund Company operations.
Parent Company:
As of 31.12.2009 NOK 1.186.369 of the total cash and cash equivalents was tied to tax accounts related to employee
withholding (NOK 1.131.008 in 2008). Liabilities to corresponding tax accounts as of 31.12.2009 was NOK 1.131.715
(NOK 1.073.851 in 2008). In 2009 and 2008 there are no other limitations on the cash and cash equivalents than
employee withholding tax.
Group:
As of 31.12.2009 NOK 1.330.839 of the total cash and cash equivalents was tied to tax accounts related to employee
withholding (NOK 1.703.587 in 2008). Liabilities to corresponding tax accounts as of 31.12.2009 was NOK 1.271.940
(NOK 1.570.872 in 2008). In 2009 and 2008 there are no other limitations on the cash and cash equivalents than
employee withholding tax.
Note 16 - Share capital and Shareholders

Total share capital of the company as of 31.12.09 was NOK 1.441.192 divided among 962.307 A-shares with a nominal
amount of NOK 1,00 - 343.814 preferred B-shares with a nominal amount of NOK 1,00 and 135.071 B-shares with a
nominal amount of NOK 1,00.
When voting at the shareholders annual meeting one A-share counts as two B-shares.
The preferred B-shares have priority over the other shares for the purpose of receiving dividends from liquidation with
an amount of each preferred B-share equal to the subscription amount for the preferred B-shares in case of a liquida-
tion of the Company.

Annual Report 2009
Changes in share capital and share premium fund Numbers of shares Share capital Share premium fund
A-shares
Issued A-shares as of 31.12.2008 962 307 962 307 36 444 705
Issued A-shares as of 31.12.2009 962 307 962 307 36 444 705
Preferred B-shares
Issued preferred B-shares as of 31.12.2008 343 814 343 814 42 662 487
Issued preferred B-shares as of 31.12.2009 343 814 343 814 42 662 487
Ordinary B-shares
Issued ordinary B-shares as of 31.12.2008 135 071 135 071 1 020 420
Issued ordinary B-shares as of 31.12.2009 135 071 135 071 1 020 420
Total issued shares as of 31.12.2009 1 441 192 1 441 192 80 127 612
Figures for result per share and fully diluted result per share can be found in note 27.
Shareholders as of 31.12.2009 A-shares Preferred B-shares Ordinary B-shares Total Ownership interest
Statoil Venture AS 310 806 151 858 0 462 664 32,10%
Viking Venture II AS 310 806 151 822 0 462 628 32,10%
Ecapital AS* 310 806 22 181 0 332 987 23,10%
Jens Klefstad 0 239 18 277 18 516 1,28%
Frode Teigen 0 2 998 14 894 17 892 1,24%
Arnstein Løvik 0 962 14 000 14 962 1,04%
Jo Morten Sletner 0 0 13 298 13 298 0,92%
Murray Pope 12 979 0 0 12 979 0,90%
Michael Dineen 12 978 0 0 12 978 0,90%
Ørjan Thoren 0 396 10 639 11 035 0,77%
Mattias Palm 0 385 10 639 11 024 0,76%
Scott Hestenes 0 1 924 7 978 9 902 0,69%
Tom Roberg 0 0 7 978 7 978 0,55%
Yngvar Seteklev 0 0 7 092 7 092 0,49%
Terje Engen 0 0 6 638 6 638 0,46%
Glenn Cooper 0 0 6 012 6 012 0,42%
Jostein Andreassen 0 115 5 638 5 753 0,40%
Gareth Aynge 0 200 5 418 5 618 0,39%
Pål Økern 0 3 982 0 3 982 0,28%
Ian Pope 3 932 0 0 3 932 0,27%
Total 20 largest shareholders 962 307 337 062 128 501 1 427 870 99,08%
Other shareholders 0 6 752 6 570 13 322 0,92%
Total number of shares 962 307 343 814 135 071 1 441 192 100,00%
* CEO and member of the board Knut H. Johansen owns 100% of Ecapital AS.
Member of the board Erik Åsberg owns 142 preferred B-shares.

Annual Report 2009
Note 17 - Other current liabilities

Other current liabilities 2009 2008 2009 2008
Pre paid income 4 648 185 2 133 985 8 757 615 4 361 385
Accrued vacation salary 2 877 233 3 071 110 3 545 438 3 988 120
Intercompany loan 2 879 667 2 042 160 0 0
Accrued expenses 955 460 1 159 623 2 302 878 1 547 332
Accrued salary 1 776 006 2 202 041 2 455 556 4 315 791
Accrued interest 137 367 295 235 137 367 295 235
Provisions for guarantees 400 000 400 000 400 000 400 000
Other short term debt 0 76 746 40 031 43 317
Total 13 673 918 11 380 900 17 638 885 14 951 180
Note 18 - Other long-term liabilities

Parent Company and Group:
Other long-term liabilities as of 31.12.09 consists of three loans from Innovasjon Norge. One new loan was raised in
2008 of NOK 3.360.000, but no new loans were raised in 2009. Total debt as of 31.12.2009 was NOK 4.716.667
(NOK 7.443.333 in 2008). The loan has a variable interest rate. There will be two installments paid each year. Total
payments in 2009 amounted to NOK 2.726.667 (NOK 1.750.000 in 2008). All of the loans will be fully repaid in 2012.
See note 29 regarding security.
Note 19 - Taxes
Parent Company:
Income taxes 2009 2008
Tax payable 0 0
Changes in deferred tax 0 3 316 201
Total income taxes 0 3 316 201
Reconciliation from nominal to actual tax rate

Profit before taxes - 1 982 546 -16 020 552
Estimated income tax at nominal tax rate (28%) - 555 113 -4 485 755
Tax effect on following items:
Costs regarding raise of capital booked against equity 0 0
Changes in off balance deferred income tax assets 500 403 7 746 507
Non-deductable costs 54 710 55 448
Total income taxes 0 3 316 201
Effective tax rate 0,0% -20,7%

Annual Report 2009
Specification of tax effect of temporary 2009 2008

differences and losses to be carried forward: Asset Liability Asset Liability
Operating equipment 84 790 0 66 881 0

Receivables 84 000 0 84 000 0
Provisions 49 000 0 0 0
Guarantees 112 000 0 112 000 0
Loss to be carried forward 8 023 795 0 7 590 300 0
Total 8 353 584 0 7 853 181 0
Non-capitalized deferred tax assets 8 353 584 0 7 853 181 0

Net deferred income tax assets/liablity 0 0 0 0
The Parent Company had losses to be carried forward of NOK 28.656.410 as of 31.12.2009 (NOK 27.108.213 in 2008).
Group:
Income taxes 2009 2008
Tax payable 641 747 878 119

Changes in deferred tax 49 620 3 317 491
Total income taxes 691 367 4 195 610
Reconciliation from nominal to actual tax rate

Profit before taxes 416 281 -12 802 699
Estimated income tax at nominal tax rate (28%) 116 559 -3 584 756
Tax effect on following items:
Changes in off balance deferred income tax assets 500 403 7 746 507
Differences in tax rate 30 185 -22 579
Non-deductable costs 44 220 56 437
Total income taxes 691 367 4 195 610
Effective tax rate 166,1% -84,2%
Specification of tax effect of temporarily 2009 2008

differences and loss to be carry forward: Asset Liability Asset Liability
Operating equipment 175 396 35 735 217 238 11 6800

Receivables 84 000 0 84 000 0
Provisions 65 800 0 0 0
Guarantees 112 000 0 112 000 0
Loss to be carried forward 8 023 795 0 7 590 300 0
Total 8 460 991 35 735 8 003 538 11 680
Non-capitalized deferred tax assets 8 353 584 35 735 7 853 181

Net deferred income tax assets/liablity 107 406 35 735 150 357 11 680
The Group had losses to be carried forward of NOK 28.656.410 as of 31.12.2009 (NOK 30.935.062 in 2008).

Annual Report 2009
Note 20 - Pension obligations
Navita Systems AS changed from a defined benefit pension plan to a defined contribution plan in 2008. The change
resulted in a cost reduction of MNOK 5,3 because of a reversal of the recognised pension obligation. This amount has
reduced the personnel expenses of the Parent Company and in the Group in 2008. In 2009 the employees in Navita
Systems AS and the subsidiaries had a defined contribution plan. As of 31.12.2009, 43 employees were included in the
pension plan in the Parent Company (44 in 2008) and in total there were 85 employees in the Group pension plan in
(75 in 2008). The pension plan is administrated by an insurance company. Total payments under this scheme in 2009
amounted to NOK 2.896.226 (NOK 2.951.749 in 2008).
Note 21 - Payroll expenses

2009 2008 2009 2008
Salaries 22 067 115 22 865 202 47 950 220 50 097 068

Employer’s contribution 3 584 493 3 819 498 6 438 138 6 087 879
Options to employees 40 843 5 975 40 843 5 975
Pension cost, see note 20 1 585 235 -3 229 996 2 896 226 -2 369 897
Other payroll cost 1 366 454 3 756 068 1 228 823 4 337 355
Total 28 644 140 27 216 747 58 554 250 58 158 380
Average number of man-year 42 43 90 92
Note 22 - Other operating expenses

2009 2008 2009 2008
Premises 3 222 143 3 014 621 6 141 229 6 199 264

Office cost 1 688 051 2 036 926 2 160 932 2 928 272
IT services 499 642 1 374 579 598 412 1 985 536
Lease of ICT 3 395 001 5 067 140 3 395 001 5 067 140
Consultants 28 285 665 25 339 503 7 206 477 7 816 507
Accounting, audit, lawyers 3 572 596 3 185 041 3 943 342 3 523 428
Travelling 3 200 495 6 854 640 4 596 213 7 757 411
Sales and marketing 1 570 915 3 081 958 1 881 576 3 999 175
Operating cost USA and Canada 7 201 236 8 257 078 0 0
Other costs 338 808 1 504 750 734 925 4 293 207
Total 52 974 552 59 716 236 30 658 107 43 569 941

Annual Report 2009
Note 23 - Costs regarding research and development
The Group invested significantly in research and development in 2009 and 2008, whereof MNOK 5,0 and MNOK 5,0
have been recognised as capitalised development costs. Research and development costs consist mainly of
personnel expenses, but also some purchased services from external companies/consultants.
Note 24 - Options
Existing options 2009 2008
Options as of 1.1 164 500 545 022

Issued during the year 0 0
Expired during the year 0 215 393
Exercised during the year 0 165 129
Total options as of 31.12 164 500 164 500
Whereof accrued 164 500 162 791
The options relate to three different programmes:
1) Norsk Hydro Produksjon AS has 115.000 options with an exercise price of NOK 1,00 per share. The options may be
subscribed in the period between 01.01.2009 and 13.12.2011.
2) Some employees have a total of 20.000 options with an exercise price of NOK 2,00 per share. Of the total, 20.000
options are accrued as of 31.12.2009. The options may be subscribed in the period between 01.01 and 01.03 each
year when they are accrued, but not later than 01.03.2011.
3) Some employees have a total of 29.500 options with an exercise price of NOK 57,69 per share. Of the total, 29.500
options are accrued as of 31.12.2009. The options may be subscribed in the period between 01.01 and 01.03 each
year when they are accrued, but not later than 01.03.2011.
Fair value of the issued options in the period was calculated using the Black-Scholes option pricing model. The most
important inputs were the last known price of the share of NOK 57,69 (at the time of issuing the options agreement),
risk free interest of 4,14%, life-time of the options (see above) and volatility at 40%.
Fair value of options to employees is booked as a payroll cost in the earning period of the options. Booked cost of op-
tions to employees in 2009 amounts to NOK 40.843 (NOK 5.977 in 2008).
Note 25 - Future lease obligations

The Parent Company and the Group has a future lease obligation related to office rental, rental of ICT services and rent-
al of office equipment. The rent is index regulated each year. Annual rental costs in 2009 amounted to NOK 6.185.883
in the Parent Company (NOK 8.158.850 in 2008) and NOK 12.207.893 for the Group (NOK 11.389.786 in 2008).
Future accumulated minimum payments regarding the lease obligations:

2009 2008 2009 2008
Mature within one year 5 875 483 7 530 194 7 959 373 9 701 059
Mature between one and five years 9 253 420 12 572 648 11 745 618 12 572 648
Mature later than 5 years 0 0 0 0

Annual Report 2009
Note 26 - Fees and remuneration
Salaries and other fees to: CEO Board
Salary 1 702 255 150 000

Other benefits 11 991 0
The CEO does not have any special agreement regarding compensation if he is required to resign.
Loan to CEO, members of the board and shareholders

There were no loans to the CEO, members of the board or shareholders as of 31.12.2009.
Auditor
Booked auditors fee in 2009 amount to (exclusive IVA):
Mandatory audits 195 000 371 772

Other assurance services 40 000 43 500
Tax consultancy 5 000 8 000
Services other than auditing 60 000 60 500
Total fees 300 000 483 772
Note 27 - Net profit per share

Net profit per share is calculated by dividing the net profit before prospective minority interests on the average
number of issued shares during the year.
2009 2008
Net profit -275 085 -16 998 309

Average number of issued shares 1 441 192 1 304 508
Net profit per share -0,19 -13,03
Net comprehensive income - 1 195 007 -17 207 907

Average number of issued shares 1 441 192 1 304 508
Net comprehensive income per share -0,83 -13,19
Fully diluted net profit per share is calculated by dividing the net profit before prospective minority interests on the
average number of issued shares and issued options during the year.
2009 2008
Net profit -275 085 -16 998 309

Average number of issued shares and issued options 1 605 692 1 699 806
Fully diluted net profit per share -0,17 -10,00
Net comprehensive income -1 195 007 -17 207 907

Average number of issued shares and issued options 1 605 962 1 304 508
Net comprehensive income per share -0,74 -13,19

Annual Report 2009
Note 28 - Related-party transactions
All related-party transactions are based on normal market conditions.
Parent Company:
In 2009 the Parent Company bought consultancy services and other services from its subsidiaries amounting to
NOK 29.341.384 (NOK 21.433.268 in 2008). The amount is recognised as other operating expenses.
In 2009 the Parent Company sold services to its subsidiaries amounting to NOK 11.881.916 (NOK 1.471.140 in 2008).
The amount is recognised as sales.
In 2009 the Parent Company recognised an income of NOK 80.161 regarding group contribution from subsidiaries
(NOK 515.355 in 2008). The amount is recognised as income from investments in Group companies.
The Parent Company has the following accounts regarding other companies in the Group:
Trade receivables 2009 2008
Navita Canada Inc 670 340 1 457 093

Navita US Inc 0 0
Navita UK Ltd 267 757 316 768
Navita Scotland Ltd 496 703 0
Navita Consulting AS 463 225 171 599
Total 1 898 025 1 945 460
Other short term receivables 2009 2008
Navita Consulting AS 80 161 515 335

Navita UK Ltd 152 798 152 798
Total 232 959 668 133
Trade Payables 2009 2008
Navita Consulting AS -3 905 113 -3 256 744

Navita US Inc -443 017 -325 742
Navita UK Ltd -195 003 -1 424 013
Navita Scotland Ltd -3 104 302 -1 757 366
Total -4 543 133 -5 006 499
Other current liability 2009 2008
Navita Scotland Ltd -2 879 667 -2 042 160

Total -2 879 667 -2 042 160
Note 29 - Secured long-term debt

Long term liability
The long-term liabilities of the Parent Company and the Group have security in operating assets. The nominal value of
the loan is NOK 9.860.000, and includes operating equipment, inventories and receivables. Booked value of the
liabilities as of 31.12.2009 was NOK 4.716.667 (NOK 7.443.333 in 2008). Booked value of the assets included in the
mortgage as of 31.12.2009 was NOK 17.173.366 (NOK 20.985.386 in 2008)
Overdraft facility
In addition the Parent Company and the Group has placed the trade receivables and operating assets as security for the
overdraft facility. The nominal value of the loan is NOK 20.000.000. As of 31.12.2009 and 31.12.2008 the overdraft
facilities had not been used. The total limit of the overdraft facility as of 31.12.2009 was NOK 7.000.000.

Annual Report 2009
Auditor’s report
www.navita.com 34 - AUDITOR’S REPORT

Annual Report 2009
Board of Director’s report

Commercial Focus financial statements.
NAVITA Systems AS and its wholly owned subsidiaries
develop and deliver software solutions to the global The positive revenue growth of recent years
energy and related commodities trading community. continued in 2009 with total income rising to MNOK
NAVITA is the Nordic market leader in energy trading 100.6 in 2009 compared to MNOK 94.3 in 2008. The
and software solutions, and is rapidly expanding its corresponding figures for the Parent company were
market share internationally. The company’s MNOK 89.6 (2009) as against MNOK 75.2 in 2008.
headquarters are in Halden, Norway, and its five wholly-
owned subsidiaries are situated in London, Edinburgh, Profit before tax for the Group was MNOK 0.4 (MNOK
California, Toronto and Oslo. -12.8) and for the Parent company MNOK -2.0 (MNOK
-16.0). In 2009, NAVITA also invested substantial sums
Navita aims to become a leading international industry in its operations related to organisational development
player. In 2009, Navita continued its strong focus on and product development in order to manage
software development, organisational development continued revenue growth.
and internationalisation. Among other things, the
company expanded its product portfolio with broad and In the autumn of 2008, NAVITA completed a
deep functionality coverage for financial and physical comprehensive cost reduction programme which
trading, risk management and logistics for a variety of resulted in savings of MNOK 10.0 in 2009. Total product
commodities. development investment in 2009 amounted to MNOK
46.4 of which activated product development for 2009
The Board is satisfied with the Company’s development was MNOK 5.0. The net value of activated product
in 2009. Despite the still visible effects of the development after depreciation was MNOK 34.4 at
financial crisis, the Company succeeded at expanding the end of 2009. 2009 product development primarily
by attracting new and large customers in both Europe related to new technical platforms, automation and
and North America. The Board is particularly pleased integration between POMAX modules, and new
with the profitability of the company, which significant- functionality for new market segments. The Company
ly improved compared with 2008. reviews product development’s market potential and
economic lifetime continuously. Annual impairment
An important success factor for NAVITA is the tests of activated development costs based on
Company’s well functioning organisation supported by expected future cash flows are conducted. Additionally,
highly educated personnel with solid industry the ongoing research and development in the Group is
expertise. The number of employees in the Group expensed as incurred.
decreased from 96 at the start of 2009 to 93 by year’s
end. Total cash flow from the Group’s operating activities in
2009 amounted to MNOK 5.9. Operating profit for the
Group was MNOK 0.4. The difference is mainly due to
Going Concern an increase in capital invested linked to an increase in
The annual report and accounts have been prepared accounts receivables and reductions in accounts
under the going concern assumption. The Board payable (total MNOK 7.3 million) and taxes payable
confirms that, in accordance with the Accounting Act § (MNOK 0.8). Depreciation (totalling MNOK 5.9) and
3-3a and IAS 1 § 23, the conditions for continued changes in other accruals (a total of 7.7 million) had the
operation are satisfied. This is based on the Company’s opposite effect.
good financial position, positive sales growth in 2009, a
solid improvement in 2009 over 2008, operating The Group’s liquidity balance was MNOK 9.1 as of
forecasts for 2010, as well as the Company’s strategy 31/12-09 as against MNOK 11.3 as of 31/12-08.
and long-term prospects. The Group’s ability to self-finance investments is
considered to be satisfactory.
The Group’s current liabilities amounted to 84.4% of
Comments related to Financial Statements total debt in the Group at the end of 2009 compared
Effective as of fiscal year 2006, NAVITA has prepared with 78.8% per 31/12-08. The increase is due to
its financial statements in accordance with IFRS. Since repayment of long-term debt. The Group’s financial
2006, the Company has also prepared consolidated position is satisfactory, and the Group can, as of
35 - BOARD OF DIRECTOR’S REPORT HALDEN LO S A N G E L E S TO RO N TO LO N D O N E D I N B U RG H O S LO S TO C K H O L M

Annual Report 2009
31/12-09, repay short-term debt using its most liquid counter-party risk exposure as a result of the ongoing
assets. financial crisis.
Total assets at the end of the year were MNOK 84.8 Liquidity Risk
compared with MNOK 90.6 the year before. The Group’s The Group’s liquidity is good, and no action is planned
equity ratio at 31/12-09 was 64.0% compared with to reduce liquidity risk. The credit terms given related
61.2% at 31/12-08, and the equity portion of the to sales will remain unchanged.
Parent company was 61.4% as of 31/12-09 compared
with 60.5% per 31/12-08.
Working environment and employees
The Board considers NAVITA’S financial statements for Sickness absence in the Group for 2009 was 2.3%
2009 to provide an accurate and concise account of its versus 1.8% in 2008. Sickness absence in 2009 was
assets and liabilities, financial position and results. somewhat higher and long-term than in 2008.
No accidents, injuries or material damages occurred in

Financial Risk 2009. The working environment is considered good,
Overall objectives and strategy and co-operation with employees has been
The Company is exposed to financial risks in different constructive and conducive to the effective
areas, particularly foreign exchange risk. With operation of NAVITA. There is ongoing work to develop
subsidiaries in the countries which represent the most and coordinate different welfare opportunities in the
important currencies the Company trades in, the Group. Currently, the Board sees no need for further
Company primarily seeks to alleviate foreign exchange actions.
risks through its activities.
The Board would like to thank all employees for their
The company has so far not seen it necessary to actively result-oriented focus and hard work in 2009.
use financial instruments to reduce financial risk.
Market Risk Equal opportunities

As some of the Company’s revenues relate to revenues The Company strives to be an equal opportunity
in foreign currencies, the company is exposed to employer. The Parent company has 51 employees of
exchange rate risk. The largest currency exposures which 14 are women and 37 are men. The group has a
relate to SEK, EURO and British Pounds. The Group does total of 93 employees, 26 women and 67 men. As of 31
have a sizeable cost base in British Pounds, reducing December 2009, the Board consisted of five men. After
the relevant currency exposure against this currency. reviewing the number of employees and job types, the
The group has not entered into derivative agreements Board decided that it is not necessary to take special
to reduce the exchange rate risk and the related market measures to promote gender equality.
risk.
The Company is also exposed to changes in interest Discrimination

rates, as the Company has debts with floating The Discrimination Act promotes equality, ensures
interest rates. Interest-bearing long term debt, however, equal opportunities and rights and prevents
constitutes only 5.6% of the total capital. This risk is discrimination based on ethnicity, national origin,
evaluated as low. ancestry, colour, language, religion or belief. The Group
works systematically to promote the Act’s purposes
Credit risk within the Company. The activities include recruitment,
The risk of debtors not having the financial capacity to wages and working conditions, promotion,
meet their obligations is considered to be development and protection against harassment.
increasing. Historically, there have been virtually no
losses on receivables. The Group has not entered into The Group aims to provide a workplace where there is
off-setting agreements or other derivative agreements no discrimination based on disabilities. The Group is
to reduce credit risks. Efforts have been initiated by the working actively and purposefully in order to design
Group to increase focus on reducing NAVITA’s and order the necessary physical conditions to ensure
www.navita.com 36 - BOARD OF DIRECTOR’S REPORT

Annual Report 2009
that the Company’s various employees have Net profit and allocation for
unimpeded access. For employees or job seekers with the parent company
disabilities, the Company organises the workplace and The Board of NAVITA Systems AS proposes that the loss
working tasks on an individual basis. for 2009 be allocated as follows.
Dividends to shareholders NOK 0,-

External environment
Transferred from other equity NOK - 1.982.547
Navita does not operate any activities that directly
Total allocations NOK - 1.982.547
pollute the environment. NAVITA’s environmental
impact is related to energy consumption and travel. The The Company’s free equity as of 31/12-09 was kr. 0, -.
Group has calculated CO2 emissions related to its
business activities and purchases quotas in
Future development
accordance with these calculations to render the Group
NAVITA achieved sales growth in all product areas and
CO2 neutral.
improved its competitiveness in 2009. Orders-on-hand
continued to strengthen throughout the year and the
increase in long-term contracts was good. The Group
enters 2010 with a strong prospect list and a solid
base of power of customers currently unaffected by
the financial crisis. The Board anticipates satisfactory
profitability in 2010.
Halden, 3 March 2010 - Navita Systems AS
Knut H. Johansen Per Bakseter Harald Jeremiassen

CEO / Board Member Chairman Board Member
Erik Åsberg Sigurd Moe Paulsen

Employee Representative Board Member
37 - BOARD OF DIRECTOR’S REPORT HALDEN LO S A N G E L E S TO RO N TO LO N D O N E D I N B U RG H O S LO S TO C K H O L M

Annual Report 2009
N AV I TA head office
offices
Navita Systems AS
P.O Box 154, NO-1751 Halden, Norway
Visiting address: Storgata 7, Halden.
Tel: +47 69 70 96 00 Fax: +47 69 70 96 01
european branch offices

Navita Systems AS
Martin Lingesvei 17, NO-1367 Snarøya, Oslo, Norway
Tel: +47 69 70 96 00 Fax: +47 67 82 72 41
Navita Systems AS
P.O. Box 2077, SE-103 12 Stockholm, Sweden
Visiting address: Kornhamnstorg 53, Stockholm
Tel: +46 8 566 300 60 Fax: +46 8 566 300 13
Navita UK Ltd.
Holland House 1-4 Bury Street, London, EC3A 5AW, UK
Tel: +44 207 469 2534 Fax: +44 870 922 3115
Navita Scotland Ltd.
83 Princes Street, Edinburgh, EH2 2ER, Scotland
Tel: +44 131 226 5566 Fax: +44 131 247 7471
north american branch offices

Navita Systems (US) Inc.
199 S. Los Robles Ave, Ste 610 Pasadena, CA 91101, USA
Tel: +1 626 535 9888 Fax: +1 626 229 9868
Navita Systems (Can) Inc.
161 Bay St, Suite 2700, Box 508 Toronto
ON - M5J 2S1, Canada
Tel: +1 416 572 2018 Fax: +1 416 572 2201
www.navita.com

Navita Annual Report 2009

Uploaded by

Document Information

Original Description:

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Navita Annual Report 2009

Uploaded by

Copyright:

Available Formats

Annual Report 2009

N AV I TA that led to the formation of Nordpool, the world’s first

POMAX, Navita’s core product and a best-of-breed

Energy producers, energy consumers, trading houses,

Navita has an extensive network of implementation and

Navita works globally in development, sales, delivery,

3 - THIS IS NAVITA HALDEN LO S A N G E L E S TO RO N TO LO N D O N E D I N B U RG H O S LO S TO C K H O L M

2009: A year of significant accomplishments in a year

www.navita.com 4 - CEO’S COMMENTS

Our aim then is nothing short of developing the ECTRM

In 2009, NAVITA continued to develop technology and

www.navita.com 6 - 2009 IN BRIEF

“ Our performance and progress in 2009,

7 - 2009 IN BRIEF HALDEN LO S A N G E L E S TO RO N TO LO N D O N E D I N B U RG H O S LO S TO C K H O L M

Looking at the existing customer base, there is a

The interest from bigger physical players has also

www.navita.com 8 - MARKET OUTLOOK

Romain Rochas, Market and Credit Risk Management IT Manager, said :

For more information about GdF Suez, see www.gdfsuez.com.

Chris Mudry, Chief Risk Manager, said:

For more information about Mercuria, see www.mercuria.com.

www.navita.com 10 - OUR CUSTOMERS

Jean-Pierre Mitard, CEO of Romande Energie Commerce, said:

For more information about Romande Energie, see www.romande-energie.ch.

11 - OUR CUSTOMERS HALDEN LO S A N G E L E S TO RO N TO LO N D O N E D I N B U RG H O S LO S TO C K H O L M

Annual Report 2009

2008 2009 Note 2009 2008

FINANCIAL INCOME AND COST

OTHER COMPREHENSIVE INCOME

www.navita.com 12- INCOME STATEMENT

2008 2009 Note 2009 2008

13- BALANCE SHEET HALDEN LO S A N G E L E S TO RO N TO LO N D O N E D I N B U RG H O S LO S TO C K H O L M

2008 2009 Note 2009 2008

LONG TERM LIABILITIES

Halden, March 3rd, 2010

Knut H. Johansen Per Bakseter Harald Jeremiassen

Erik Åsberg Sigurd Moe Paulsen

www.navita.com 14- BALANCE SHEET

Statement of Cash Flow

Parent company Group

2008 2009 2009 2008

Cash flow from operational activities

Cash flow from investment activities

Cash flow from financial activities

15 - STATEMENT OF CASH FLOW HALDEN LO S A N G E L E S TO RO N TO LO N D O N E D I N B U RG H O S LO S TO C K H O L M

Statement of Changes in Equity

www.navita.com 16 - STATEMENT OF CHANGES IN EQUITY

Notes to the Financial Statement

Note 2 - Summary of significant accounting policies

2.1 Basis of preparation

17 - NOTES TO THE FINANCIAL STATEMENT HALDEN LO S A N G E L E S TO RO N TO LO N D O N E D I N B U RG H O S LO S TO C K H O L M

www.navita.com 18 - NOTES TO THE FINANCIAL STATEMENT

2.7 Trade receivables The change resulted in a cost reduction of MNOK

19 - NOTES TO THE FINANCIAL STATEMENT HALDEN LO S A N G E L E S TO RO N TO LO N D O N E D I N B U RG H O S LO S TO C K H O L M

Licence revenues 2.17 Net profit per share

2.12 Leases Financial risk factors

2.13 Borrowing costs Currency risk

www.navita.com 20 - NOTES TO THE FINANCIAL STATEMENT

variable rates, and exposes the Group to changes in the

Note 4 - Changes in the Group’s structure

There were no changes in the Group’s structure in 2009 or 2008.

Note 5 - List of subsidiaries

The following subsidiaries are included in the consolidated financial statements: