YARA LISTED TODAY - HYDRO TO CONCENTRATE ON ENERGY AND ALUMINIUM
25 March 2004 - Hydro Aluminium

“Hydro and Yara share nearly 100 years of history. Today, Yara – formerly Hydro Agri – becomes a separate company, under the leadership of Thorleif Enger and his team,” Hydro’s President and CEO, Eivind Reiten stated. “Today also marks the beginning of a new era for Hydro; we will strengthen our position by concentrating financial and management resources on further developing the two main business areas, Oil & Energy and Aluminium.”

As a result of the demerger, 80 percent of the Yara shares have been issued to Hydro’s shareholders. Each Hydro shareholder received one Yara share for each share held in Hydro at the close of trading March 24, 2004. Beginning today, the Hydro share (ticker code NHY) will be traded excluding the right to receive Yara shares. Hydro’s American Depository Receipts (ADR) will be traded on the New York Stock Exchange including the right to receive Yara shares through March 31, 2004 and excluding Yara shares from and after April 1, 2004.

Hydro retained 20 percent of the Yara shares in the demerger. Today Hydro has sold 31.9 million shares in Yara (10 percent) for NOK 41 per share. The total proceeds amounted to NOK 1.3 billion, which resulted in a pre-tax gain of approximately NOK 260 million. The gain will be included in income from discontinued operations.

After this sale, Hydro owns 31.9 million Yara shares, representing 10 percent of Yara. Hydro has granted to the managers an over-allotment option exercisable for a 30-day period ending on April 24, 2004, under which the managers may purchase some or all of these shares.

Yara will today repay its financial indebtedness to Hydro by drawing on Yara's newly established bank loan facilities.

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