Reference is made to the IPO prospectus and the update given in the Q4 2014 report regarding the income tax issue which has been under review by Skatt Øst (Norwegian tax authorities). XXL ASA has now received a draft decision from Skatt Øst regarding income years 2010, 2011, 2012 and 2013. In its draft decision, Skatt Øst is proposing to increase the Group’s income with NOK 323 million related to tax deductions for interest expenses on loans to associated parties. In addition Skatt Øst has proposed withholding tax of NOK 81 million and penalty tax of 30 percent.
No final resolution has been made and Skatt Øst is awaiting a response from XXL ASA.
XXL ASA does not agree with Skatt Øst and intends to oppose the draft decision.
For further queries, please contact:
Tolle O. R. Grøterud, Head of Investor Relations, XXL ASA
Tel: +47 90 27 29 59
E-mail: ir@xxlasa.com
About XXL ASA
XXL is a leading sports retailer with stores and e-commerce in Norway, Sweden and Finland. It is the largest and the fastest growing among the major sports retailers in the Nordics. XXL pursues a broad customer appeal, offering a one stop shop experience with a wide range of products for sports, hunting, skiing, biking and other outdoor activities. XXL’s concept is to have the largest stores with the lowest prices and the widest assortment of products, focusing on branded goods.