Stockholm - Investor AB, the investment company with key stakes in leading Swedish blue-chip companies, Tuesday reported a loss for fourth quarter 2008 in the wake of the global financial downturn.

For the fourth quarter 2008, the group reported a loss of 15.6 billion kronor (1.9 billion dollars), compared to a loss of 19.2 billion kronor for the corresponding business period 2007.

For full-year 2008, the loss was 36.7 billion kronor compared to a loss of 400 million kronor for full-year 2007, the group said.

At the end of December the net asset value had declined 23 per cent to 115 billion kronor, compared to 155 billion kronor at the end of
2007.

Chief Executive Borje Ekholm said 2008 was "exceptional," noting that "we experienced stock market declines of a magnitude not seen since the 1930s."

In his outlook, Ekholm said it was prudent "to plan for a more severe downturn."

Although Investor outperformed the Stockholm stock market, shedding 18 per cent compared to the stock market's 39 per cent drop, "relative performance can never pay for breakfast," Ekholm said.

The board suggested that the dividend should be lowered from 4.75 to 4 kronor per share.

Engineering group ABB accounted for 18 per cent of Investor's assets. Investor also has stakes in blue-chip companies like pharmeutical group Astra Zeneca, banking group SEB, construction and mining tools maker Atlas Copco, telecommunications equipment provider Ericsson, household appliance maker Electrolux, and aviation and military technology concern Saab.

The sale of heavy-vehicle maker Scania to Volkswagen was completed during the third quarter, and generated a profit of 3.3 billion kronor.

Investor AB has close ties with Sweden's wealthy and influential Wallenberg family. (dpa)