Ackermans & van Haaren: Interim report first quarter 2009

5/18/2009, 7:31 AM (Source: GlobeNewswire)
Interim report on the current state of affairs of the main group
companies - First quarter 2009
(Regulated information within the meaning of the Royal Decree of 14
November 2007)

CONTRACTING, DREDGING AND CONCESSIONS
DEME (AvH 50%) continued its high level of activity with an almost
complete fleet utilization in the first quarter of 2009. The turnover
and operational result were in line with 2008. DEME has also renewed
its order book at a relatively high level (1,972 million euros at the
end of March 2009 versus 2,192 million euros at 31.12.2008), a.o.
driven by new contracts in Nigeria, Russia, Brazil, Angola, South
Africa, Libya and Germany. The project in Port Rashid was cancelled
by the customer early 2009, after the execution of the first phase at
the end of 2008/early 2009 (impact on the order book per 31.03.2009
-286 million euros). The successful diversification of DEME towards
environmental activities, maritime works (e.g. offshore wind farms)
and offshore oil and gas projects supports the positive evolution to
a large extent. DEME is working on a significant number of new
tenders. However, on average the grant of such tender projects
nowadays takes more time given the uncertain economic and financial
circumstances.

ALGEMENE AANNEMINGEN VAN LAERE (AvH 100%) continued to stand up
relatively well despite a difficult construction climate.

REAL ESTATE AND RELATED SERVICES
At LEASINVEST REAL ESTATE - LRE (AvH 30.01%), the occupancy rate (98%
versus 97.3% at 31.12.2008) and the rental yield (7.45% versus 7.27%)
remained at a very respectable level, which resulted in a good
operational real estate result. The fair value of the real estate
portfolio, including project developments (due to the changes in the
IFRS standard IAS 40), amounted to 570.9 million euros at 31.03.2009
(versus 563.2 million euros at 31.12.2008). The unrealised capital
gain (12 million euros) on the project development Bian in Luxembourg
more than compensates the negative changes in the fair value of other
buildings.

EXTENSA (AvH 100%) maintained a limited selling activity in the land
development activities. The project development was at a normal
level, but has not yet contributed to the result as there have not
yet been any completions.

The turnover of COBELGUARD (AvH 40%) continued to evolve successfully
in very competitive market circumstances.

The first quarter is traditionally a negative quarter for GROUPE
FINANCIERE DUVAL (AvH 30%), due to the low season in the exploitation
activities (e.g. holiday parks). Despite the clear delay in promotion
activities, the order book remained at a reasonable level.

ANIMA CARE (AvH 100%), the new initiative of AvH in the health & care
sector, has now acquired its first nursing home. The senior care
facility 'De Toekomst/Sautstraetpoorte' in Aalst has 85 licensed
nursing home beds and 38 service flats. Anima Care is in discussion
for the acquisition of other senior care operations, and has a
pipeline of new real estate projects and options on land. Anima Care
has the ambition to become a respectable player in the senior care
sector with a broad offer of services, and will invest in real estate
as well as in qualitative operations.


FINANCIAL SERVICES
Despite the extremely volatile financial markets, the net inflow of
assets from existing and new clients is in line with the record
growth of the previous years. The assets under management of BANK
DELEN (AvH 78.75%) amounted to 10,615 million euros at 31.03.09
(against 10,343 million euros at 31.12.08). All branches of Bank
Delen, as well as the network from Bank J.Van Breda & C°, contribute
to the growth in the net inflow. The nomination at the beginning of
2009 of Bank Delen as 'Best Private Bank' in Belgium by Euromoney for
the third consecutive year has certainly supported the confidence
from the clientele.

BANK J.VAN BREDA & C° (AvH 78.75%) has also shown a positive
evolution in the first quarter 2009, both in volume of deposits as in
off-balance sheet investments (5,263 million euros invested by
clients at 31.03.2009 - of which 1,429 million euros in asset
management at Bank Delen - against 5,009 million euros at
31.12.2008). The results were supported by a return to a more normal
interest rate curve, which has a positive effect on the interest rate
result. Despite the fact that provisions for credit losses were very
low in the first quarter, the economic recession prompts us to remain
cautious.

PRIVATE EQUITY
The private equity participations felt a stronger impact from the
economic recession in the first quarter of 2009 than in the fourth
quarter of 2008. This results in a mixed picture whereby the
companies which are more cyclical or consumer driven showed a net
loss in the first quarter. Our traditionally prudent financing
structure of private equity investments allows these companies to
focus on their operational priorities. So far, there have not been
any new investments in private equity. The sale of the participation
IDIM has resulted in a capital gain of 1.5 million euros (share AvH).

OTHER INVESTMENTS
In the first quarter of 2009, the plantation group SIPEF (AvH 20%)
has increased its production of palm oil in Indonesia and Papua New
Guinea with 13.7%. The price of palm oil started to increase again in
2009, after reaching a bottom in 4Q2008. The combination of
encouraging production numbers, improving palm oil prices and lower
production costs leads to an expectation of a good 2009 for Sipef,
without however reaching the record level of 2008.

HENSCHEL (AvH 50%) was still able to realize a very strong result in
the first quarter driven by a good order book and supported by an
efficiency increase. It is understood that in the current economic
climate, the renewal of the order book is under pressure.

In addition to the investment in SAGAR CEMENTS (AvH 14,8%), a second
participation in India has recently been realized. AvH is investing,
in joint venture with the Delhi-based ORIENTAL STRUCTURAL ENGINEERS,
in the exploitation and production of aggregates, intended for road
infrastructure as well as for the production of concrete. The joint
venture owns currently a total capacity of 1.2 million tons per year
of aggregates, with the ambition to substantially increase this over
the coming years. This investment allows us to anticipate the
expected, continuous increase of the demand for basic construction
materials in India, which are driven by both economical (need for
additional infrastructure) and demographic (housing) criteria.


AvH & Subholdings
The net cash position of AvH amounted to 143.7 million euros at
31.03.2009 (against 106.4 million euros at 31.12.2008). This position
takes into account a limited negative impact from the financial
markets on the share portfolio and 7.5 million euros of follow-up
investments mainly in the private equity portfolio, as well as 57
million euros revenues form the sale of participations (mainly Oleon
and IDIM).



Prospects 2009
The present economic crisis calls for great caution. Nevertheless the
board of directors is confident that most of the participations of
the group are well positioned.



Calendar 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 - 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
is included in the reference index BEL20, the Private Equity NXT
index of Euronext Brussels and 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. Anyone who is interested to
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under the 'News' section.

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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