SFL Raises Its Interest In SCI Paul Cezanne to 100%

Pursuant to the memorandum of understanding signed on 8 February
20071, SFL (Paris:FLY) has today acquired Predica's 50% interest in
SCI Paul Cezanne, raising its interest to 100%.

The value of EUR 198,670,242 attributed to the 50% interest has
been confirmed by the merger auditors, Jacques Zaks and Edouard Leduc.
Their report was filed with the Clerk of the Paris Commercial Court on
22 March 2007. The report and the sale agreement are available for
consultation at SFL's headquarters.

The 3,425,349 SFL shares issued in payment for the acquisition
will be priced at EUR 58 per share, as provided for in the memorandum
of understanding. They will rank pari passu with existing shares and
will be quoted on the same line. This issue, representing less than 8%
of SFL's capital, is being carried out pursuant to the general
authorisation given to the Board at the 2005 Annual General Meeting
(6th resolution) to issue shares representing up to 10% of the capital
in payment for stock in another company.

The transaction will give SFL exclusive control over SCI Paul
Cezanne's capital.

Predica has confirmed to SFL that it plans to sell an equivalent
number of SFL shares to three investors, at the same price of EUR 58,
retaining at least 5% of SFL's capital and voting rights in accordance
with the provisions of the shareholder pact concluded with
Inmobiliaria Colonial on 24 November 2004.

For further information, contact Francois Sebillotte, SFL's
Company Secretary.

1 See SFL press release dated 9 February 2007