Press releases

Rotterdam, the Netherlands – HAM dredging and marine contractors, has lengthened the HAM 310 trailing suction hopper dredger by approximately 30 metres.

Edmund Nuttall Ltd has been successful in securing one of three major framework agreements awarded by North of Scotland Water Authority as part of the Water Quality Undertakings Programme.

Camberley – Edmund Nuttall Ltd has been awarded a five-year structures renewal contract for Railtrack’s North West zone, following competitive tendering.

A joint venture between Edmund Nuttall Ltd and HBG Ascon Ltd has been awarded a contract worth £21.3 million by Fingal County Council to construct a 6.5 kilometre section of motorway between Dublin Airport and Lissenhall in Ireland.

HBG Construction has started work on a seven storey hotel in the centre of Glasgow.

Bunnik/Rijswijk - GTI nv and HBG, Hollandsche Beton Groep nv, are in talks on GTI’s acquisition of HCG industrieservice bv in Rijswijk.

Edmund Nuttall Limited has been awarded a contract valued at £2 million at Coppetts Wood in Finchley, to carry out road improvements and land rehabilitation.

Strategic reorientation initiated

Full Potential Programme aimed at identifying and establishing benchmark profit improvement programme

Introduction of value-based management, providing insight into value creation

Introduction of percentage of completion method of accounting, enhancing transparency

Rearrangement and adjustment of portfolio of activities: divestment of business units failing to make adequate long-term contributions to results

Focus on cash-generating and cost-saving measures

In connection with change of direction, provisions totalling EUR 166 million

Forecast operating result for 2000 before provisions: EUR 90 million; forecast net loss for 2000: EUR 68 million, due to provisions

Key figures as at 30 June 2000

Turnover: after provisions EUR 2,441 million - before provisions +11%

Net profit: after provisions EUR -102 million - before provisions  EUR 64 million [inc. 36 million PoC*]

Net profit as % of shareholders’ equity:after provisions –39% - before provisions  25% [inc. 13% PoC*]

Net profit per ordinary share:after provisions EUR –2.92  - before provisions  EUR 1.83 [inc. 1.03 PoC*]

Order book at year-end 2000 expected to be at record level [EUR 5.2 billion]; good quality and diversity

*recognised according to the percentage of completion method.
Rijswijk, the Netherlands – HBG, Hollandsche Beton Groep nv, has embarked on a drastic change of course. This centres on the strategic reorientation, which will be completed at the beginning of 2001. With these changes, the Board of Management aims to focus the Group and the individual group companies more keenly on the product/market combinations which have profitable growth potential and match the capabilities of HBG most closely. It is also the aim to make further improvements in the quality of the workforce and the production processes. The Group is introducing a benchmark programme, along with a system of value-based management, with the object of increasing management accountability. This package of measures will lead to greater shareholder value. With this strategic reorientation, the Group has set itself the target of ranking among the top international construction companies in terms of profitability and will divest activities which do not make a structural and sustainable long-term contribution to profits.

Rijswijk, the Netherlands – Guus Hoefsloot [49], director of HBG Bouw en Vastgoed, has been appointed member Board of Management of HBG, Hollandsche Beton Groep nv, as from 1 September 2000.

Strategische Neuorientierung eingeleitet

'Full potential program' zur Identifizierung und Realisierung von 'Benchmark'-Programm zur Gewinnverbesserung

Einführung 'Value-based management'-System: Einblick in Wertschöpfung

Einführung 'Percentage of Completion' [POC] vergrößert Transparenz

Neuordnung und Anpassung von Aktivitätenportefeuille; Abstoßung von Bereichen, die nicht in ausreichendem Maße dauerhaft zum Ergebnis beitragen

Konzentration auf cash-generierende und kostensenkende Maßnahmen

Im Rahmen der Kursänderung: Rückstellungen in Höhe von EUR 166 Millionen

Voraussichtliches Betriebsergebnis 2000 vor Rückstellung: EUR 90 Millionen; voraussichtlicher Reinverlust 2000: EUR 68 Millionen infolge von Rückstellungen

Kennzahlen zum 30. Juni 2000

Umsatz an Dritte: nach Rückstellungen EUR 2.441 Millionen - vor Rückstellungen +11%

Nettoerlös: nach Rückstellungen EUR –102 Millionen - vor Rückstellungen EUR 64 Millionen [Anteil POC: 36 Mio.]

Nettoerlös in % des Eigenkapitals: nach Rückstellungen –39 % - vor Rückstellungen 25 %[Anteil POC: 13 %]

Nettoerlös je Stammaktie: nach Rückstellungen EUR –2,92 - vor Rückstellungen EUR 1,83[Anteil POC: 1,03]

Auftragslage Ende 2000 erreicht Rekordstand [EUR 5,2 Milliarden]; gute Qualität und Streuung

Rijswijk – HBG, Hollandsche Beton Groep nv, hat eine einschneidende Kursänderung eingeleitet. Im Mittelpunkt steht die strategische Neuorientierung, die Anfang 2001 abgeschlossen sein wird. Damit will der Vorstand den Konzern und die einzelnen Konzerngesellschaften verstärkt auf die Produkt-/Marktkombinationen ausrichten, die gewinnträchtiges Wachstum beinhalten und optimal mit den Kapazitäten von HBG im Einklang stehen. Ferner muss die Qualität von Mitarbeitern und Betriebsprozessen weiter verbessert werden. Der Konzern führt ein 'Benchmark'-Programm ein und stellt zur Vergrößerung der 'Management-Accountability' auf das 'Value-based management'-System um. Diese Maßnahmen werden zu einem höheren Aktionärswert führen. Der Konzern hat sich mit der strategischen Neuorientierung zum Ziel gesetzt, hinsichtlich der Ertragskraft eine Spitzenposition unter den internationalen Bauunternehmen einzunehmen und wird Bereiche, die nicht strukturell und dauerhaft gewinnträchtig sind, abstoßen.

Peter Burford, FRICS, has joined HBG Properties as development manager in the Midlands office at Castle Bromwich.

HBG Construction has won a £2.3 million refurbishment and remodelling contract at heltenham and Gloucester College of Higher Education, Francis Close hall campus in Cheltenham.

HBG Construction in the North West has been appointed to construct a new 60 bedroom extension for the Malmaison Hotel in Manchester.

HBG Construction has been awarded a £3.1 million contract by the University of Huddersfield for the third and final phase, of the Canalside redevelopment of the main Queensgate campus in Huddersfield.

HBG Construction has completed the East Ayrshire Community Hospital at Cumnock for Ayrshire and Arran Primary Care NHS Trust four months ahead of schedule.

Edmund Nuttall Ltd has recently been awarded the Investor in People accreditation in recognition of its approach to training and developing the workforce throughout the company.

A Nuttall/Ascon joint venture has just commenced tunnelling on the River Lee and Interceptor Sewer scheme in Cork.

Leading geotechnical contractor Ritchies continues with its strategy for national growth with the recent acquisition of north west based spray concrete and structural repair specialists Concrete Construction Limited [CCT].

Papendrecht / Rijswijk, the Netherlands – The merger, between Royal Boskalis Westminster nv and HBG, Hollandsche Beton Groep nv, which was announced mid May, will not take place.

Rijswijk, the Netherlands – J.J.M. Veraart [60] president of the Board of Mangement of HBG since May 1997, will resign as of 15 July 2000.

Santa Ana, California – Flatiron Structures Company [a subsidiary of HBG Constructors Inc. and managing partner of SLC Rail Constructors] has been awarded a design-build contract for the 2.5 mile Light Rail Transit System from downtown Salt Lake City to the University of Utah.

Four new office contracts totalling £42.9 million have been awarded to HBG Construction.

School projects totalling £10.5 million have been awarded to HBG Construction by Bradford Metropolitan District Council.

A storm attenuation tank will shortly be floated across the Firth of Clyde to the scenic Isle of Bute as part of the Rothesay Sewerage Scheme, which is being undertaken by Edmund Nuttall Ltd on behalf of client West of Scotland Water Authority.