Ackermans & van Haaren NV: Interim report

11/17/2008, 7:30 AM (Source: GlobeNewswire)
Interim report on the current state of affairs of the main group
companies - Third quarter 2008
(Regulated information within the meaning of the Royal Decree of 14
November 2007)

CONTRACTING, DREDGING AND CONCESSIONS
Driven by an almost complete fleet utilization in the third quarter,
the turnover and profit targets of DEME for the financial year 2008
are maintained. Many new contracts have resulted in an increase of
the order book, which amounted to 2,306 million euros at the end of
October 2008 (versus 1,946 million euros at 30.06.08).

The main new contracts since June 30, 2008 are the following:
* Port Rashid (Dubai): a contract of 390 million euros for
the reclamation and expansion of Port Rashid, where residential and
recreational facilities will be built for 200,000 people. The
contract will be executed in a temporary joint-venture with
Boskalis.
* London Gateway Port: the development of a large new port
area along the Thames in the United Kingdom. The project of a total
of approximately 400 million pound will be carried out in a
temporary joint-venture with Laing O'Rourke.
* Amoras: an important assignment for the design,
construction and exploitation of a silt treatment and storage
system in the port of Antwerp. Half of this 400 million euros
project will be performed by DEME.
* South America: dredging in Manzanillo (Mexico) as part of
the construction of an LNG terminal and a new contract for the
dredging of the access channel to a new container terminal in
Panama. Both contracts together represent a value of 40 million
euros.
* Asia: new dredging contracts in Taiwan and an
environmental dredging assignment in the Philippines for a total
amount of 100 million euros.

Taking into account this positive evolution of the order book, DEME
is investigating further investments in its fleet within the context
of the previously announced investment plan.

At ALGEMENE AANNEMINGEN VAN LAERE, all subsidiaries contributed
positively to the result. The order book remained stable thanks to
new contracts in, i.a., Vilvoorde, Machelen en Zoetermeer (the
Netherlands).

REAL ESTATE AND RELATED SERVICES
At the real estate investment trust LEASINVEST REAL ESTATE, the fair
value of the real estate portfolio remained fairly constant at 487.0
million euros. The total value, including project developments,
amounted to 513.3 million euros (versus 502.7 million euros at
30.06.08). The occupancy rate remained at a very high level of 97.30%
(versus 97.06% at the end of the second quarter) and the rental yield
was 7.20% (versus 7.15% at 30.06.08).

An office project of 1,585 m² was acquired in the city of Luxembourg
in the third quarter. Additional investments were also made for the
ongoing project Bian in Luxembourg.

The development activities of EXTENSA have clearly suffered from the
slowdown in the demand for new housing parcels. Due to the low book
value of the land bank and a number of new permits, this land
development activity in Belgium has a low risk profile and maintains
its recurring profit potential.

The permits for the further development of the Tour & Taxis site are
in full preparation, amongst others for a first project of 16,000 m²
for the Brussels environment company BIM/IBGE. The shopping centre in
Focsani, Romania will be completed in the fourth quarter. The start
of the sale of the residential project in Istanbul (Turkey) has been
postponed with a couple of months due to the local market
circumstances.


FINANCIAL SERVICES
Despite the extremely volatile financial markets and the continued
turmoil in the financial sector, both Bank Delen and Bank J.Van Breda
& C° realised a strong commercial growth in the third quarter.

The assets under management of BANK DELEN amounted to 10,889 million
euros at 30.09.08 (against 11,293 million euros at 30.06.08 and
12,126 million euros at the end of 2007). Taking into account the
negative stock market impact over the first 9 months of 2008, this
implies an important net increase of new assets under management.

The net equity of Bank Delen increased over the first 9 months of
2008 from 246 million euros to 271 million euros.

Bank Delen invests its own assets almost entirely in short term
government bonds.

BANK J.VAN BREDA & C° has also shown a strong commercial performance
with its target group clientele of entrepreneurs and liberal
professions. The total assets deposited by clients increased to 4,940
million euros at 30.09.08 (compared to 4,827 million euros at
30.06.08 and 4,701 million euros at 31.12.07). The total volume of
deposits increased in the third quarter with 5% to 2,063 million euro
(or an increase of 9% over the first 9 months of 2008), and with
respect to the off-balance sheet investments, the inflow compensated
for the negative stock market effect.

The net equity of Bank J.Van Breda & C° increased over the first 9
months of 2008 from 207 million euros to 224 million euros.

Also Bank J.Van Breda & C° has a tradition to invest its portfolio
very conservatively and almost entirely in government paper. Bank
J.Van Breda & C° only grants loans to its target clients with whom it
has a sustainable and global relationship. Furthermore, all loans are
very diversified as to amounts and debtors. As a consequence, the
write offs due to loan losses were very limited in the third quarter.

The niche approach of both banks and the traditionally extremely
cautious investment strategy ensured that neither Bank Delen nor Bank
J.Van Breda & C° have any 'subprime' securities or other 'toxic'
products in their portfolio.


PRIVATE EQUITY
Overall, the private equity participations continue to make an
important, although lower, contribution to the group result. The
impact of the financial crisis on the consumer confidence and the
economic slowdown which is clearly evolving towards a profound
recession have resulted in a decrease of the turnover and operational
profit of some of the industrial participations in the third quarter.


AvH & Subholdings
The net cash position of AvH amounted to 171.7 million euros at
30.09.2008 (against 207.6 million at 30.06.2008). This evolution is
mainly driven by the decrease of the market value of the investments
in KBC and Fortis with 31.6 million euros. Based on the current
evolution of the stock price of Fortis, AvH expects a total negative
impact on the results of the financial year 2008 of approximately 44
million euros (or 1.3 euro per share AvH).


Prospects 2008
Ackermans & van Haaren still expects to be able to realise a decent
operational group result over the entire financial year 2008 thanks
to the strong cycle in the dredging sector and the good commercial
performance of its banks. In the mean time, the consequences of the
weakening of the economic climate start to impact most group
participations.



Calendar 2009

6 March 2009 annual results 2008
18 May 2009 interim report Q1 2009
25 May 2009 annual shareholders' meeting
27 August 2009 half year results 2009
16 November 2009 interim report Q3 2009



Ackermans & van Haaren is a diversified group active in 4 key
sectors: contracting, dredging and concessions (DEME, one of the
largest dredging companies in the world - Algemene Aannemingen Van
Laere, a leading contractor in Belgium), Real Estate and related
services (Leasinvest Real Estate, a listed real-estate investment
trust with real estate assets of approximately 480 million euros -
Extensa, an important land and real estate developer focused on
Belgium, Luxemburg and Central Europe), private banking (Bank Delen,
one of the largest independent private asset managers in Belgium -
Bank J.Van Breda & C°, niche bank for entrepreneurs and liberal
professions) and private equity (Sofinim, one of the largest private
equity providers in Belgium, and GIB).
The group concentrates on a limited number of strategic
participations with an important potential for growth. The AvH share
has been included in the reference index BEL20, the Private Equity
NXT index of Euronext Brussels and as of 23 June in the European DJ
Stoxx index 600.

Website
All press releases issued by AvH and its most important group
companies as well as the 'Investor Presentation' can also be
consulted on the AvH website: www.avh.be.
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For further information please contact:
Luc
Bertrand
CEO - President of the Executive
Committee
tel:
+32.3.231.87.70
e-mail : dirsec@avh.be

Jan Suykens
Member of the Executive Committee
tel: +32.3.897.92.36
e-mail : dirsec@avh.be

Tom Bamelis
Member of the Executive Committee
tel: +32.3.897.92.42
e-mail : dirsec@avh.be


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