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Bouygues SA

Earnings Release Nov 14, 2008

1167_10-q_2008-11-14_a3a8d028-2e2f-4d5c-a385-e1a68e430e69.pdf

Earnings Release

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BOUYGUES PRESS RELEASE

QUARTERLY FINANCIAL INFORMATION

SALES IN THE FIRST NINE MONTHS OF 2008: 24.1 BILLION EUROS (+13%)

1) SALES

The Bouygues Group reported consolidated sales of 24.1 billion euros in the first nine months of 2008, an increase of 13% on the previous year (12% like-on-like and at constant exchange rates).

CONTRIBUTION OF BUSINESS
AREAS TO SALES
(€ million)
9 months
2007
9 months
2008
Change
%
Bouygues Construction 5,811 6,730 +16%
Bouygues Immobilier 1,292 1,988 +54%
Colas 8,497 9,569 +13%
TF1 1,959 1,867 -5%
Bouygues Telecom 3,521 3,750 +7%
Holding company and other 214 216 ns
Total 21,294 24,120 +13%
France 14,918 16,513 +11%
International 6,376 7,607 +19%

Commentary on the contribution of business areas to the Group's consolidated sales

Bouygues Construction reported a 16% rise in sales (9% in France and 25% on international markets). Business thrived in France, especially in the building segment, while international sales were buoyed by ongoing work on major projects like the ports at Pusan (South Korea) and Tangiers (Morocco), the EPR nuclear power plant in Finland, the Gautrain project in South Africa and the Cyprus airports.

Business activity continued to be brisk, keeping the order book high at 12.5 billion euros, 16% more than at end-September 2007.

Bouygues Immobilier achieved a 54% increase in sales thanks to the high level of reservations in the last two years.

In a market that deteriorated considerably in the third quarter after an exceptional year for Bouygues Immobilier in 2007, reservations were sharply down year-on-year, falling by 22% to 950 million euros in the residential property segment and by 65% to 440 million euros in the commercial property segment. The order book amounted to 3.5 billion euros, slightly lower than at end-September 2007 (-5%), representing 15 months' sales.

Sales at Colas rose by 13% (9% in France and 18% on international markets). The order book amounted to 6.3 billion euros, 5% lower than at the end of September 2007 though still high.

At TF1, in an environment that remains difficult, overall sales dropped by 5% and core channel advertising revenue fell by 3%.

Bouygues Telecom reported a 6.5% increase in sales. Sales from network rose by a further 5.1% to 3,502 million euros despite an 8% cut in call termination charges and the regulation of roaming charges.

Bouygues Telecom attracted 466,000 new contract customers in the year to end-September, an increase of 7.1%. It had 9,327,000 customers at 30 September, 7,042,000 of them with call plans representing 75.5% of the customer base, 1.8 points more than at the same time last year.

2) SIGNIFICANT EVENTS SINCE 30 JUNE 2008

  • 3 July 2008: 1 billion euro 7-year bond for early refinancing of the redemption in May 2009 of a bond issue for the same amount.
  • 26 August 2008: Bouygues Construction won two contracts in Singapore worth 210 million euros.
  • 8 September 2008: Bouygues Telecom launched Neo.2 (new unlimited call plans).
  • 20 October 2008: Bouygues Telecom launched a consumer DSL service (Bbox broadband router).
  • 28 October 2008: Bouygues Construction announced the conclusion of a public-private partnership contract in Canada worth over 230 million euros, after finalising the financial arrangements for the project.

3) FINANCIAL SITUATION AND EARNINGS AT 30 SEPTEMBER 2008

The Group is financially robust thanks to a high level of liquidity and an evenly spread debt repayment schedule.

Earnings at end-September 2008 are expected to follow the same trend as in the first half of the year.

Earnings for the first nine months of 2008 will be released on 2 December 2008 at 5.45 pm.

CONTRIBUTION OF BUSINESS
AREAS TO SALES
(€ million)
Q3
2007
Q3
2008
Change
%
Bouygues Construction 2,099 2,282 +9%
Bouygues Immobilier 484 689 +42%
Colas 3,583 3,960 +11%
TF1 536 515 -4%
Bouygues Telecom 1,228 1,293 +5%
Holding company and other 66 71 ns
Total 7,996 8,810 +10%
France 5,219 5,617 +8%
International 2,777 3,193 +15%

APPENDIX: THIRD-QUARTER 2008 SALES

Press contact: +33 1 44 20 12 01 - [email protected]

Investor and analyst contact: +33 1 44 20 12 77 - [email protected]

www.bouygues.com

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