Buyback of shares

(June 9, 2004) Hydro has on 8 June 2004 purchased 80,000 own shares at an average price of NOK 431.72. After this transaction, Hydro holds 8,195,198 own shares.

The transaction is part of a buyback programme that was approved by Hydro's Annual General Meeting on 11 May 2004. This buyback programme opens for buyback of up to 2,808,810 shares in the market, and is valid for 18 months. The shares will subsequently be sought cancelled.

Hydro's largest shareholder, the Norwegian State, has committed to participate by cancelling a proportional part of its shares, leaving the State's 43.82 per cent ownership unchanged. The compensation to the State will be equal to the price achieved in the market, plus an interest of NIBOR +1 per cent, calculated from the dates of acquisition of the corresponding shares.

In total, up to 5 million shares may be cancelled, equivalent to 2 per cent of the outstanding shares. The decision on cancellation must be made with a majority vote of 2/3 of the shares represented at the General Meeting.