Kmd Bpo A/S

The Company's Principal Activities Owned by KMD A/S, KMD BPO A/S offers integrated payroll and personnel administration solutions to the Local Government Market, the Central Government Market and the Private Market. The solutions comprise development of and support for payroll and personnel administration systems. In addition to this, payroll tasks can be outsourced to KMD BPO A/S who will offer to take on the staff members who are responsible for the tasks at the agreement date. KMD BPO A/S offers to enter into agreements where the following leading payroll systems are used in the contractual relationship: Perspektiv, SAP Nettoløn (SAP Net Payroll Component) and KMD OPUS. For Perspektiv it applies that the system is developed, maintained and supported directly by KMD BPO A/S. In addition to this, call center solutions handling different types of support for administrative systems are offered, primarily to Central Government. Knowledge Resources As a leading outsourcing provider and IT supplier the company employs staff with a high level of professional knowledge. Knowledge development and knowledge building programs are run continuously to create an attractive workplace for employees who seek to work professionally with customer service, personnel administration and IT development. In 2014 the company was certified to ISO 27001. At the end of 2015, the company had 192 full-time employees. Research and Development Activities KMD BPO A/S has in 2015 maintained its position in the market for payroll solutions in the Private Sector. Revenue in KMD BPO A/S has increased by 3% from DKK 180 million in 2014 to DKK 186 million in 2015. In 2015 KMD BPO A/S won payroll administration for TOMS A/S. Since the agreement with the Municipality of Copenhagen could not be prolonged, payroll administration was returned to the Municipality of Copenhagen. The return of payroll administration should have taken place in June 2015 however, it was postponed until December 2015. Also, payroll administration of the Municipality of Greve was returned in December 2015, since KMD BPO A/S did not re-win the agreement. The Income statement for the financial year 01.01.2015 to 31.12.2015 shows a profit of t.kr. 6,034. The result is 5 million kr. lower that the profit of 2014. This is primarily due to higher personnel costs for handling a number of large and complicated agreements. The company balance sheet at 31 December 2015 displays a balance sheet total of t.kr. 84.302 and a total equity of t.kr. 37,499. Events after the closing of the financial year After the reporting period it has been decided to merge KMD BPO A/S with KMD A/S during 2016. Recognition and measurement uncertainty Recognition and measurement have not been affected by any significant uncertainty. Expectations for the future The Company expects to be merged with KMD A/S during 2016.

Research and Development Activities KMD BPO A/S has in 2015 maintained its position in the market for payroll solutions in the Private Sector. Revenue in KMD BPO A/S has increased by 3% from DKK 180 million in 2014 to DKK 186 million in 2015. In 2015 KMD BPO A/S won payroll administration for TOMS A/S. Since the agreement with the Municipality of Copenhagen could not be prolonged, payroll administration was returned to the Municipality of Copenhagen. The return of payroll administration should have taken place in June 2015 however, it was postponed until December 2015. Also, payroll administration of the Municipality of Greve was returned in December 2015, since KMD BPO A/S did not re-win the agreement. The Income statement for the financial year 01.01.2015 to 31.12.2015 shows a profit of t.kr. 6,034. The result is 5 million kr. lower that the profit of 2014. This is primarily due to higher personnel costs for handling a number of large and complicated agreements. The company balance sheet at 31 December 2015 displays a balance sheet total of t.kr. 84.302 and a total equity of t.kr. 37,499.