Quarterly Report Summary 2007.01.01 - 2007.06.30

• Probi’s net sales for the period January to June amounted to 20,2 million SEK (13,4), an increase of 51 percent (-7). The net sales during the second quarter was 10,8 million SEK (7,0). Growth within the business area Functional Food was 39 percent (-10) during the period January to June and 123 percent (28) within the business area Dietary Supplements. Growth during the second quarter was 41 percent (-8) within Functional Food and 126 percent (60) within Dietary Supplements.

• After tax result for the period January to June was positive and amounted to 1,9 million SEK (-4,2). After tax result during the second quarter improved to 0,8 million SEK (-1,6).

• Earnings per share for the period January to June amounted to 0,20 SEK (-0,44) and to 0,09 SEK (-0,17) during the second quarter.

• Cash flow from current activities during the period January to June improved to 11,4 million SEK (-1,9). Liquid assets were 41,6 million SEK (36,8) at the end of the period.

• Probi has signed a license agreement with a well-established European food company. The agreement gives the company exclusive rights to sell products containing one of Probi’s bacteria that has not yet been commercialised. The company wishes to remain anonymous until the product is launched.

• Probi’s partner Institut Rosell has signed an agreement for the launch of a dietary supplement with Probi’s probiotics in Greece, the Czech Republic and Slovakia. Launch will occur during fall 2007.

• Institut Rosell has signed an agreement with the Indian pharmaceutical company Aristo Pharmaceuticals for the launch of a dietary supplement based on Probi’s probiotics on the Indian market. Launch is expected during fall 2007. With these new contracts, Probi’s probiotics will be marketed in fifteen counties, including the three most populated countries in the world.

• Michael Oredsson has been appointed as the new CEO for Probi and will assume his position in September. For the past five years he has been CEO for the Australian stock exchange listed biotech company Biosignal where he has had a leading roll in the build-up and listing of the company on the Sydney Stock Exchange.

• Probi still deems that result and cash flow from current activities will be positive during 2007.

Probi is a leading player in probiotic research and development. The company’s research is carried out using living micro- organisms with scientifically proven health effects. The main research areas are: stomach and gastrointestinal tracts, immune defense, risk factors for cardiovascular diseases, stress and recovery. Probi’s business concept is based on offering efficient and well-documented probiotic product concepts with comprehensive patent protection, which result in the possibility of considerably higher royalty levels than for the sector as a whole. Probi’s customers include leading companies in the functional foods, dietary supplements and clinical nutrition marketing areas. Since the middle of the 1990s, the Company has had continuous income from commercialized products. The global market for probiotic products shows a favorable underlying growth. New insight into the advantages of probiotics, an increasingly greater health interest and authorities’ increasing documentation demands and regulations are the primary trends that support Probi. Probi’s shares are listed on the Nordic Exchange. For further information, visit www.probi.se.