BOURBON Annual Revenues: +16.8% to 717.6 million euros / Offshore Division Annual Revenues: +35.8%
"Business in 2006 marks a decisive step in the BOURBON growth plan" stated Jacques de Chateauvieux, Chairman and Chief Executive Officer of BOURBON. "In a buoyant market, we have moved from the position of bold challenger to a position as leader in modern offshore oil and gas marine services by offering the most demanding customers worldwide the services of a full line of new generation, innovative and high-performance vessels."
•Offshore Division
In the final quarter of 2006, the Offshore Division recorded revenues of 111.9 million euros, representing growth of +43.2% compared to the last quarter of 2005. Revenues for this Division for the full year 2006 rose +35.8% to 376.6 million euros, 5.6% of which represents the revenues recorded by chartered vessels. In line with the strategy announced, growth in the business remained strong and was primarily driven by three favorable factors:
•accelerated deliveries in 2006 with the commissioning of 31 new vessels;
•in comparison, 19 vessels were delivered in the fiscal year 2005 (8 supply vessels and 11 crew boats);
In 2006, in the Offshore Division:
the growth in revenues continued to remain very strong in Angola as well as in Nigeria under the twofold effect of a thriving exploration & development business and the start of production of oil fields discovered in the past few years; the new joint venture Naviera Bourbon Tamaulipas in Mexico was launched and consolidated at 49% as of April 2006;
finally, the Offshore Division successfully launched its activity in Asia, where revenues increased by a factor of 3.7 during the year.
Towage & Salvage Division
In the final quarter of 2006, revenues for the Towage & Salvage Division totaled 32.6 million euros, representing growth of +4.3% over the fourth quarter of 2005.
Revenues in 2006 for this Division rose +12.9% to 129.7 million euros.
This growth in operations was primarily driven by three favorable factors:
•the salvage and coastal protection activity integrates 12 full months of service for the Abeille Bourbon and Abeille Liberté;
•port activity remained strong in French ports, particularly in Marseilles-Fos and Nantes Saint-Nazaire;
•tug operations in African ports benefited from the favorable context for the offshore oil and gas sector in the region.
However, in the port of Le Havre, revenues for the activity declined 17.9% from one quarter to the next and 17.7% compared to the final quarter of 2005, because of competition from a new operator in recent months.
Bulk Division
In the final quarter of 2006, the Bulk Division recorded 46.0 million euros in revenues, an increase of 11.9% over the previous quarter. Revenues in 2006 for this division fell -7.5% to 169.2 million euros. Setaf Saget increased cargo shipped by 9.8% with 15.7 million tons in 2006, compared with 14.3 million tons in 2005.
After the drop in freight rates early in 2006, the rates have increased again and because of its contract policy the Bulk Division progressively benefited from this increase in the second half of the year.
OUTLOOK
BOURBON's activity in 2007, as revenues continue to be linked to the Euro/Dollar parity, should be influenced by four main factors:
•continued growth in the Offshore Division with new vessel deliveries in a favorable market context;
•the towage concession contract in the port of Tangiers Mediterranean in Morocco for a period of 25 years as of April 2007;
•the full year impact of the arrival of the new operator in the port of Le Havre on the revenues of the Towage & Salvage Division;
•the high level of freight rates reached in the final quarter continued early in 2007 in a market with favorable prospects for the Bulk Division.
About BOURBON
With 4300 professionals dedicated to its clients and a fleet of almost 250 owned vessels, BOURBON offers a broad range of offshore oil and gas marine services, towage, assistance, salvage and bulk shipping.
Operating in more than 25 countries, BOURBON continues to strengthen its position as a major international player in marine services.
By 2010, in line with its strategic plan, BOURBON intends to become the leader in modern offshore oil and gas marine services by offering the most demanding international clients worldwide the services of a full line of new generation, innovative and high-performance vessels.
Classified by Euronext in the "Oil Services" sector, BOURBON is listed on Eurolist Paris, Compartment A and is included in the Deferred Settlement Service (SRD) and the SBF 120 and Dow Jones Stoxx 600 indices.
Contacts / Press Relations
US agency: TM Marketing / Tony Munoz
(954) 848 99 55 / [email protected]
European agency: Publicis Consultants / Axel Bavière
+33 (0)1 44 43 73 11 / [email protected]
BOURBON
Investors Relations
Patrick Mangaud / +33 (0)1 40 13 86 09 / [email protected]
Communications Department
Christa Roqueblave / +33 (0)1 40 13 86 06 / [email protected]
Visit Bourbon at: http://www.bourbon-online.com