Hordaland på børs 19 August Bergen Group. prepared for international growth. Pål Engebretsen, CEO

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1 Hordaland på børs 19 August 2010 prepared for international growth Pål Engebretsen, CEO

2 DISCLAIMER This quarter Presentation includes and is based, inter alia, on forward-looking information and statements that are subject to risks and uncertainties that could cause actual results to differ. Such forward-looking information and statements are based on current expectations, estimates and projections about global economic conditions, the economic conditions of the regions and industries that are major markets for ASA and its subsidiaries. These expectations, estimates and projections are generally identifiable by statements containing words such as "expects", "believes", "estimates" or similar expressions. Important factors that could cause actual results to differ materially from those expectations include, among others, economic and market conditions in the geographic areas and industries that are or will be major markets for s businesses, oil prices, market acceptance of new products and services, changes in governmental regulations, interest rates, fluctuations in currency exchange rates and such other factors as may be discussed from time to time. Although ASA believes that its expectations and the information in this Presentation were based upon reasonable assumptions at the time when they were made, it can give no assurance that those expectations will be achieved or that the actual results will be as set out in this Presentation. ASA nor any other company within the Bergen Group is making any representation or warranty, expressed or implied, as to the accuracy, reliability or completeness of the information in the Presentation, and neither ASA, any other company within the nor any of their directors, officers or employees will have any liability to you or any other persons resulting from your use of the information in the Presentation. ASA undertakes no obligation to publicly update or revise any forward-looking information or statements in the Presentation. 2

3 AGENDA Highlights the last 12 months Our activities in the Bergen area Internationalization and diversified ownership 3

4 BERGEN GROUP - INTRODUCTION is a maritime industrial group with main focus on the offshore industry and specialized vessels Founded in 2002 (named Bergen Yards until 2007) and listed on Oslo Stock Exchange with ticker BERGEN since June 2008 Based on 30 maritime-related companies, each with a strong individual history. Headquartered at Marineholmen in Bergen Specialized competence within Shipbuilding, Maritime Service, Offshore and Technology 4

5 BERGEN GROUP - FOUR BUSINESS AREAS Strategic locations along the Norwegian Coastal line 5

6 FINANCIAL HIGHLIGHTS Strong performance in 2009 NOK 5,11 billion in operating revenue (NOK 3,74 billion in 2008) NOK 416 million in EBITDA (NOK 191 million inn 2008) EBITDA-margin of 8.1 % (5,1 % in 2008) 6

7 INCREASED MARGIN REDUCED REVENUE 15,5 % SHIPBUILDING OFFSHORE MARITIME SERVICES TECHNOLOGY BG GROUP 10,5 % 5,5 % 0,5 % -4,5 % Q4 08 Q1 09 Q2 09 Q3 09 Q4 09 Q1 10-9,5 % An estimated reduction in operating revenue for 2010 Strong overall EBITDA in Q (8,3%) Satisfactory profit in all projects Offshore influenced by low order activity in

8 BERGEN GROUP ON OSE moved from OB Standard to OB Match in December 2009 Increased trade activity has continued through 2010 Stock performance above OSE20 Industrials index. Share performance of BERGEN last 12 months compared with OB Benchmark Index and OSE20 Industrials 8

9 RESTRUCTURING FOCUS ON CORE BUSINESS Five non-core companies within Technology transferred to new organizational unit Business Development The remaining companies within Technology represents strong and profitable core business units New company added to Technology: manpower service for shipbuilding and offshore. 9

10 FOCUS ON CORE BUSINESS ASA Business Development Shared Services AS Management AS BG BSM AS BG Risnes AS Bg Idntækni BG Intech AS SPL Norway Shipbuilding AS Maritime Services AS Offshore AS Technology AS Fosen AS Kimek AS Rosenberg AS Dreggen AS BMV AS Skjøndal AS Hanøytangen AS Skarveland AS ShipDesign AS Laksevåg AS Kimek Offshore AS Vest Elektro AS Halsnøy AS Engineering AMIA SiJo AS 10

11 BORDER AGREEMENT IN THE BARENTS SEA The historical border agreement in the Barents Sea in April 2010 has a tremendous long term potential with a well established position in the Northern Area - on both side of the Norwegian/Russian border: Kirkenes Murmansk Harstad KIRKENES: BG Kimek KIRKENES: BG Kimek Offshore Today is one of the largest private owned employers in Finnmark Hammerfest-location under evaluation HARSTAD: BG Engineering MURMANSK: BG Kimek 11

12 MAJOR CONTRACT WITH FJORD LINE Contract on two new cruise-ferries for Fjord Line values to NOK 1,65 billion Option for a third vessel signed Hulls to be build in Polandoutfitting and commissioning to take place at Fosen First delivery in spring

13 STILL A FUTURE IN SHIPBUILDING High volume and strong margins EBITDA-margin of 13,5 % in Q1 Contract on two new cruise-ferries for Fjord Line Increased focus on Ship Design will strengthen the yards market position Five deliveries to take place in 2010 All of them very advanced offshore vessels Shipbuilding well positioned to strengthen our market position within the specialized vessels/offshore/ropax-segment. 13

14 STRENGHTENING IN THE MANAGEMENT New Chairman of the Board Hans Olav Lindal took over as Chairman of the Board in June Lindal holds several non-executive directorships in companies within various sectors of the maritime industry, both nationally and internationally. Executive Vice President for the Maritime Service Division Terje Arnesen joined the Group Management August 1 st. Arnesen has broad international experience from the maritime industry. His latest position was CEO of Bennex Group. CEO at Rosenberg Kristin Færøvik in place as new CEO in May. She has extensive experience from leading position in the offshore industry. Her latest position was CEO of Marathon Petroleum Norway. Managing Director for Engineering Anita Høyen Haug took office on August 1st. She comes from a position as head of the Bergen office of Manpower Professional Engineering AS (formerly Tech Power AS). 14

16 OUR COMPANIES IN THE BERGEN AREA ASA Business Development Shared Services AS Management AS BG BSM AS BG Risnes AS Bg Idntækni BG Intech AS SPL Norway Shipbuilding AS Maritime Services AS Offshore AS Technology AS Fosen AS Kimek AS Rosenberg AS Dreggen AS BMV AS Skjøndal AS Hanøytangen AS Skarveland AS ShipDesign AS Laksevåg AS Kimek Offshore AS Vest Elektro AS Halsnøy AS Engineering AMIA SiJo AS 16

17 BERGEN GROUP BMV FOCUSING HIGH END TECHNOLOGY BMV is a leading international company in the construction of innovative and advanced ships for the offshore industry BMV to deliver 4 high quality offshore vessels during 2010 Two newbuildings christened last week Ceo Coral: The most advanced seismic vessel ever build in Norway Island Enforcer: A state-of-the art and a one-of-a-kind multipurpose OCV. 17

18 BERGEN GROUP DREGGEN IN NEW MARKETS Dreggen has quadrupled the annual revenues since Deliveries to customers world-wide Sales offices established in Brazil and in Singapore two markets with exiting growth opportunities p Dreggen is now prequalified for direct deliveries to Statoil 18

19 BERGEN GROUP HANØYTANGEN An attractive yard for all kind of rig modifications Unique dry dock facilities Carried out the biggest rig modification project in Europe in 2009 Investments of NOK 150 mill finished last year -increased capacity and flexibility High rig activity expected the next years to come 19

20 HANØYTANGEN FORMER PROJECTS Heidrun and Troll 1993 Transocean Leader 1998 Transocean Searcher 2008 Transocean Arctic 2009 Troll B Acergy Piper (LB 200) 2007 Bjørvikatunnelen Polar Pioneer

21 HANØYTANGEN AS AN INDUSTRIAL CLUSTER Hanøytangen on its way to become an important industrial cluster for maritime and offshore operations. External companies ready to establish activity at Hanøytangen Hanøytangen prepared to facilitate other -activities in the future. Hanøytangen illustration of a possible future scenario 21

23 OWNERSHIP AND INTERNATIONALIZATION In September 2009, opened up for diversified ownership as an possible tool for further growth. In August 2010, Spring Capital Resources Ltd flagged an possible future major ownership linked to a new convertible bond loan issued to. 10,5 % as of today 25 % if conversion is carried out Process of mapping different alternatives for future cooperation to be carried out: -complimentary business -new strategic locations can generate growth -internationalization of `s core knowledge -partnership can strengthen the market position An open process to be concluded within next nine months with call options on the bond loan. 0 23

24 SPRING CAPITAL RESOURCES LTD Spring Capital Resources Ltd is closely linked to Yantai CIMIC Raffles. and Spring Capital Resources Ltd are the two parts that now are mapping possible business opportunities 24

25 Strategy Improve operational and market synergies through constantly increasing efficiency, service and quality in the group structure Increased focus on market orientation and product development Develop a stronger product portfolio within the value chains Stronger focus on concept development Continued growth, primarily within the high-end technology and engineering business Further strengthen the engineering capacity Building long term relationships towards customers Further strengthen the group s four business areas trough international integration/partnerships 25

26 OUTLOOK AS SEEN BY END OF Q A challenging market situation about to improve - order backlog expected to increase Offshore-division with strengthened long term potential RoPax-contract will boost the development of tailormade ship design Prepared for temporarily reduction in turnover but maintain expectations of an acceptable profitability in 2010 well prepared for long term growth: Strong offshore facilities with high capacity and core knowledge Successful industrialization of the shipbuildingprocess within our core segments Ongoing process on focusing new geographical business areas and possible alliances. 26

27 BERGEN GROUP QUALITY THROUGH SERVICE AND INNOVATION THANK YOU FOR YOUR ATTENTION! 27