Norsk Hydro Asa · OSL:NHY
Norsk Hydro Asa — Merger or Acquisition (2007)
20 slides from Norsk Hydro Asa's merger presentation, 2007
Slide 1: Summary Hydro Information Memorandum
Summary Hydro Information Memorandum www.hydro.com
Slide 2: Information Memorandum overview
Information Memorandum overview z The Information Memorandum has been prepared in connection with the demerger of Norsk Hydro ASA and the merger of Hydro Petroleum with Statoil ASA z The Information Memorandum provides a description of Hydro after the demerger z For a description of the merger, the
Slide 3: Information Memorandum content
Information Memorandum content Section Comment 1 Important notice Description of purpose of document and relation to Statoil’s Form F-4 2 Terms and definitions 3 Summary Summary of Hydro prior to and after Demerger 4 Description of Hydro prior to the Description based on Hydro’s Annual Report 2006 D
Slide 4: Basis for presentation of financial information
Basis for presentation of financial information z The financials are prepared using historical results and historical basis for assets and liabilities of Hydro after Demerger and Hydro Petroleum z The combined financial information consists of - The Hydro after Demerger combined income statements an
Slide 5: Hydro going forward
Hydro going forward z Core businesses: Aluminium Metal, Aluminium Products and Power - One of the world's three leading integrated aluminium companies - Norway's second largest power producer z 22 000 employees of which 7 000 in Norway z Operations in more than 30 countries z Annual turnover more th
Slide 6: Summary financial information
Summary financial information Operating income NOK million 2006 2005 2004 Aluminium Metal 6 362 2 694 785 Aluminium Products (83) (370) 1 072 Power 1 185 1 123 741 Other activities 1 229 (88) 274 Corporate and eliminations (885) 1 064 (854) Total 7 808 4 423 2 018 Adjusted EBITDA 1) NOK million 2006
Slide 7: Combined income statements – Hydro after demerger
Combined income statements – Hydro after demerger NOK million 2006 2005 Operating revenues 102 632 92 100 Depreciation, depletion and amortization 3 674 3 975 Impairment losses 289 1 259 Other operating costs 90 863 82 444 Operating income 7 808 4 423 Non-consolidated investees 761 491 Financial inc
Slide 8: Condensed statements of income – 2006
Condensed statements of income – 2006 Hydro Petroleum Hydro after Hydro Adjust- NOK million demerger carve-out demerger consolidated ments 1) combined combined Operating revenues 196 234 1 536 95 138 102 632 Depreciation, depletion and amortization 22 164 18 202 3 963 Other operating costs 121 837 3
Slide 9: Condensed statements of income – 2005
Condensed statements of income – 2005 Hydro Adjust- Hydro Petroleum Hydro after NOK million demerger carve- demerger consolidated ments 1) out combined combined Operating revenues 171 231 1 675 80 806 92 100 Depreciation, depletion and amortization 15 752 10 518 5 234 Other operating costs 109 242 2
Slide 10: Combined balance sheets – Hydro after demerger
Combined balance sheets – Hydro after demerger NOK million 31 December 2006 31 December 2005 Cash and cash equivalents 6 609 10 266 Short-term investments 15 020 3 859 Receivable Hydro Petroleum 200 779 Receivables and other current assets 20 181 19 073 Inventories 14 220 12 952 Current assets held
Slide 11: Condensed balance sheets – 2006
Condensed balance sheets – 2006 Hydro Petroleum Hydro Adjust- Hydro after NOK million demerger carve- consolidated ments 1) demerger combined out combined Cash and cash equivalents 6 760 152 6 609 Short-term investments 15 020 1 15 020 Receivables and other current assets 42 732 22 551 20 181 Receiv
Slide 12: Condensed balance sheets – 2005
Condensed balance sheets – 2005 Hydro Petroleum Hydro Adjust- Hydro after NOK million demerger carve- consolidated ments 1) demerger combined out combined Cash and cash equivalents 10 463 197 10 266 Short-term investments 3 865 6 3 859 Receivables and other current assets 41 411 22 338 19 073 Receiv
Slide 13: Aluminium Metal
Aluminium Metal z Strong focus on return on capital z Restructuring on track z Operational excellence and production creep z Long-term profitable growth z Expected primary production 2010: 2 000 000 tons z Key development projects - Qatalum smelter project (Qatar) on stream end 2009 - Alunorte alumi
Slide 14: Aluminium Metal financials
Aluminium Metal financials NOK million 2006 2005 2004 Operating revenues 68 405 54 579 51 957 Depreciation 1 728 1 687 3 798 Operating income 6 362 2 694 785 Non-consolidated investees 837 272 281 Adjusted EBITDA 9 134 4 821 5 297 Investments 1) 1 979 1 792 4 244 Primary aluminium production (tons)
Slide 15: Aluminium Products
Aluminium Products z Solid platform for good returns in Extrusion z Rolled Products improving, market still challenging z Strong momentum in restructuring z Divestment of Aluminium Castings and Meridian for NOK 4.3 billion completed Q1 2007 z Divestments in process - Automotive Structures, Magnesium
Slide 16: Aluminium Products financials
Aluminium Products financials 1) NOK million 2006 2005 2004 Operating revenues 49 844 42 477 43 533 Depreciation 1 666 2 913 1 848 Operating income (83) (370) 1 072 Non-consolidated investees (179) 47 68 Adjusted EBITDA 1 715 2 670 3 058 Investments 2) 1 250 1 970 1 951 Rolled Products sales volumes
Slide 17: Power
Power z Norway’s second largest power producer - Annual production ~ 9 TWh (7-11 TWh), 100% hydropower - 2.7 TWh with no reversion - 3.6 TWh subject to reversal in 2044-2057* - 2.7 TWh subject to reversal in 2022 - Installed capacity 1 860 MW z Acquired power under long-term contracts until 2020 ~ 7
Slide 18: Power financials
Power financials NOK million 2006 2005 2004 Operating revenues 6 292 6 614 4 108 Depreciation 120 142 121 Operating income 1 185 1 123 741 Non-consolidated investees 22 10 2 Adjusted EBITDA 1 337 1 283 875 Investments 42 98 241 Power production, TWh 8.3 10.8 8.1 Acquired under long-term contracts fo
Slide 19: Cautionary note in relation to certain forward-looking statements
Cautionary note in relation to certain forward-looking statements Certain statements contained in this announcement constitute “forward-looking information” within the meaning of Section 27A of the US Securities Act of 1933, as amended, and Section 21E of the US Securities Exchange Act of 1934, as a
Slide 20: Investor Relations in Hydro
Investor Relations in Hydro t: +47 22 53 84 83 Ada Christiane Rieker Vice President m: +47 951 82 718 e: ada.christiane.rieker@hydro.com t: +47 22 53 24 55 Gudmund Isfeldt Investor Relations Officer m: +47 480 01 180 e: gudmund.isfeldt@hydro.com t: +47 22 53 92 80 Stefan Solberg Investor Relations O