Earnings Release • Feb 16, 2012
Earnings Release
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REGULATED INFORMATION FEBRUARY 16, 2012
Solvay has created with Rhodia a major player in the chemical industry with sales of EUR 12.7 billion1 , 40%1 of which are made in high growth countries, and a REBITDA2 of EUR 2.1 billion1 . This new Group is now ranked among the top 10 chemical companies worldwide.
The Group is supported by positions of excellence: 90% of its sales are made in activities where it is among the top three leaders worldwide. It is one of the world leaders in high-performance specialty polymers and the world leader in soda ash and hydrogen peroxide. It also provides its leadership in specialty chemicals (silica, rare earth formulations), products designed for large consumer markets (surfactants and natural polymers, acetate tow) and engineering plastics based on polyamide 6.6.
The complementary nature of Rhodia's and Solvay's industrial activities provides the new Group with exposure to very diverse markets: special chemicals designed for consumer products, construction, automotive, energy, water, environmental, electronics, etc.
This new Group, listed on NYSE Euronext in Brussels and Paris, intends to become a major worldwide chemical group resolutely committed to sustainable development and focused on innovation and operating excellence.
The integration process is combining Solvay's and Rhodia's strengths and excellence.
Significant actions have already been launched.
Cost savings programs related to procurement and logistic have been launched and will generate savings of EUR 250 million per year. They will be fully effective within 3 years.
The new corporate function organizations should be put into place in the first half of 2012. The program to align the other functions is continued. Solvay Energy Services was created on January 1, 2012. Th fir S
Solvay is confident in its capacity to deliver the announced integration synergies of EUR 250 million per year by 2014. They will be added to the Horizon program savings amounting to EUR 120 million per year from 2012. These two optimization programs should generate more than EUR 100 million in gross savings1 during 2012. So syne
1 Before associated costs, one-off costs
• Split by Sector
• Split by Sector excluding CBS and NBD
22%
The business review shown below on pages 4 to 15 is based on pro forma figures. Those pro forma figures show the income statement (1) as if the acquisition of Rhodia had become effective from the 1st of January 2010, (2) harmonizing the accounting rules and (3) eliminating the Purchase Price Allocation (PPA) impacts.
The PPA impacts are created by the reevaluation of assets, liabilities and contingent liabilities of Rhodia at fair value at acquisition date (IFRS 3).
This pro forma presentation shows the evolution of the economic performance of the Solvay Group on a full year basis in 2011 and on a comparable basis with 2010.
The first contribution by Rhodia to the Group's quarterly results is substantial. It confirms the ambition pursued to create a leading chemical player serving highly diversified markets globally, with reduced cyclical exposure. With 2/3 of its sales in resilient market segments and 40% in fast growing regions, Solvay is well positioned to capture growth opportunities in promising business segments responding to the industry's undergoing megatrends. Potential cost savings will be an additional source of value creation.
In an uncertain economic environment in Europe and in some segments of the demand, but differentiated from one world region to another, overall market conditions seem to progressively recover. In this context, Solvay emphasizes a stringent operational and financial management. As a major player in chemistry and a global leader in its activities, Solvay enjoys solid competitive advantages. The good progress with Rhodia integration and the deployment of Horizon are essential levers.
| Key data (in million EUR) | Pro forma 2011 results (a) |
Pro forma 2010 results (b) |
Change in % (a/b) |
IFRS 2011 results |
IFRS 2010 results1 |
|---|---|---|---|---|---|
| Net sales2 | 12 693 | 11 095 | 14% | 8 001 | 5 937 |
| Net sales growth excluding forex and scope | 14% | 11% | |||
| REBITDA | 2 068 | 1 862 | 11% | 1 208 | 930 |
| REBITDA as a % of net sales | 16% | 17% | N/A | 15% | 16% |
| REBIT from continuing operations | 1 408 | 1 226 | 15% | 748 | 571 |
| Net result from continuing operations | 825 | 406 | 103% | 334 | 97 |
| Net result from discontinued operations3 | -41 | 1 721 | N/A | -38 | 1 726 |
| Net result | 784 | 2 127 | -63% | 296 | 1 823 |
| Net income (Solvay share) | 247 | 1 776 | |||
| Basic earnings per share from continuing operations (EUR)4 |
3.51 | 0.62 | |||
| Free Cash Flow from continuing operations5 | 656 | 449 | 46% | 371 | 117 |
Financial data for the year 2010 were restated to take into account the following change: since January 1, 2011, the Group consolidates joint ventures using the equity method instead of the proportionate method with a negative impact on the sales of the year 2010 of EUR 837 million. More information about this is provided on pages 23 to 25 of this press release.
Compared with pro forma 2010 Net sales REBITDA Net result 12 693 million € 2 068 million € 784 million € + 14% + 11%
| Key data (in million EUR) | Pro forma 4th quarter 2011 results (a) |
Pro forma 4th quarter 2010 results (b) |
Change in % (a/b) |
IFRS 4th quarter 2011 results |
IFRS 4th quarter 2010 results1 |
|---|---|---|---|---|---|
| Net sales | 2 998 | 2 845 | 5% | 2 998 | 1 507 |
| Net sales growth excluding forex and scope | 4% | 4% | |||
| REBITDA | 355 | 461 | -23% | 355 | 231 |
| REBITDA as a % of net sales | 12% | 16% | 12% | 15% | |
| REBIT from continuing operations | 184 | 301 | -39% | 155 | 144 |
| Net result from continuing operations | 123 | 119 | 3% | -19 | 16 |
| Net result from discontinued operations | 0 | 0 | 0 | 0 | |
| Net result | 122 | 119 | 3% | -20 | 16 |
| Net income (Solvay share) | -23 | -2 | |||
| Basic earnings per share from continuing ope rations (EUR)2 |
-0.28 | -0.03 | |||
| Free Cash Flow from continuing operations3 | 246 | 211 | 114 |
Financial data for the year 2010 were restated to take into account the following change: since January 1, 2011, the Group consolidates joint ventures using the equity method instead of the proportionate method with a negative impact on the sales of the 4th quarter 2010 of EUR 134 million. More information about this is provided on pages 23 to 25 of this press release.
Calculated on the basis of the weighted average number of shares in the period, after deduction of own shares purchased to cover the stock option program, or a total of 81 320 011 shares at the end of December 2010 and 81 223 941 shares at the end of December 2011.
Cash flow from operating activities + cash flow from investing activities, excluding acquisitions and sales of subsidiaries and other investments + dividends from associates and JVs.
Compared with pro forma 4th quarter 2010
Net sales REBITDA Net result 2 998 million € 355 million € 122 million € + 5% - 23%
| Pro forma results | IFRS results | |||||
|---|---|---|---|---|---|---|
| Key data (in million EUR) | 2011 | 2010 | Change in % |
2011 | 2010 | Change in % |
| Net sales1 | 12 693 | 11 095 | 14% | 8 001 | 5 937 | 35% |
| Plastics | 3 686 | 3 361 | 10% | 3 686 | 3 361 | 10% |
| Chemicals | 2 836 | 2 575 | 10% | 2 836 | 2 575 | 10% |
| Rhodia | 6 171 | 5 157 | 20% | 1 479 | ||
| REBITDA | 2 068 | 1 862 | 11% | 1 208 | 930 | 30% |
| Plastics | 590 | 555 | 6% | 583 | 538 | 8% |
| Chemicals | 491 | 472 | 4% | 484 | 455 | 6% |
| Rhodia | 1 119 | 9623 | 16% | 231 | ||
| New Business Development | -53 | -47 | -13% | -38 | -25 | -51% |
| Corporate and Business Support2 | -79 | -80 | 1% | -51 | -37 | -37% |
Following the implementation of the new organization (Horizon), an amount of EUR 272 million of sales was transferred from the Chemicals Sector to the Plastics Sector in the figures of the year 2010, without any impact on the results.
Part of the corporate costs of the Rhodia Sector were booked as Corporate and Business Support costs in the 4th quarter and pro forma full year 2011 results.
Restated based on the Solvay Group's accounting principles (harmonization of accounting principles)
The year 2011 was marked by the acquisition of Rhodia on September 16. It should be noted that only the figures from the 4th quarter of Rhodia are included in the consolidated IFRS accounts of the Solvay Group. In order to give complete and comparable information, the Group published pro forma adjusted financial results, in addition to the consolidated IFRS accounts for 2011. The comments on 2011 shown below pertain to the pro forma figures.
Net sales for 2011 amounted to EUR 12 693 million, an improvement of 14%.
The economic context remained sustained throughout 2011 for most activities, as seen in the increased sales volume in Chemistry (+4%), as well as Plastics (+2%) and Rhodia (+3%).
The activity was particularly dynamic in Specialty Polymers, in Advanced Materials and in Consumer Chemicals; their sales volumes with constant perimeter were up by 6%, 19% and 6% respectively compared to the already high levels of activity in 2010. Other activities, however, were confronted with a net slowdown in demand during the last months of the year, in particular Vinyls, fluorinated chemical products and, to a lesser degree, Polyamide Materials.
The share of sales realized by the Solvay Group in fast growing regions was clearly improved. Solvay realized 40% of its sales in Latin America, Asia and in the rest of the world in 2011.
REBITDA for 2011 amounted to EUR 2 068 million compared to EUR 1 862 million in 2010, or an increase of 11%. Priority was given to cash generation, especially in the 4th quarter, which resulted in a considerable decrease of stocks. This made it possible to generate a free cash flow of EUR 246 million in the 4th quarter, but adversely impacted profit by an estimated EUR 50 million.
The improvement in REBITDA in the Plastics Sector (+6% to EUR 590 million) is explained by the record operating performance of Specialty Polymers in a context of very sustained activity; the margin - REBITDA on net sales – for this activity amounted to 29% a net improvement due to higher sales prices, significant improvement in industrial performances and a better product mix. The results from Vinyls have been under strong pressure since the end of the summer despite major cost-reduction efforts. Overall for the year, their REBITDA posted a slight drop of 4% compared to 2010, with a margin - REBITDA on net sales – of 9% compared to 10% in 2010.
REBITDA of the Chemicals Sector again improved compared to the preceding period; it increased by 4% to EUR 491 million. The result from Essential Chemicals was up by 9% compared to 2010; it was sustained by an increase in demand across the majority of its activities and a good level of profitability, with increases in sales prices more than compensating for the increased costs of energy and some raw materials. Despite a very good operating performance in the first half, the REBITDA of Special Chemicals was down due to a net slowdown in the activity during the last months of the year.
Rhodia Sector's posted a strong 16% progression to a record EUR 1 119 million REBITDA, illustrating a successfull execution of its profitable growth strategy and confirming the ambitions linked to this acquisition. The sector benefited from its resilient quality portfolio, its strong exposure to fast growing regions as well as its excellent pricing power. Overall organic volume progressed by 3%. Furthermore, the Feixiang acquisition, consolidated since Decembre 2010, continued growing at a double-digit pace. In a context of global inflationary raw material and energy costs, the sector's pricing power generated a net positive impact in REBITDA of EUR 158 million in the year. By segments, Consumer Chemicals and Advanced Materials, constituted powerful growth engines and posted profitability improvements by over 30% with respective REBITDA levels of EUR 364 million and EUR 267 million. Polyamide Materials, down by 23% suffered from a demanding comparative base in 2010 and a weakened activity in the second half of the year. Acetow & Eco services, operating in more mature business segments, saw sustained business dynamics throughout the year. Energy Services remained stable.
REBITDA of New Business Development amounted to EUR –53 million; it reflects the research & development efforts made in promising and important areas for development of the Group outside its traditional activities.
REBITDA of Corporate and Business Support amounted to EUR –79 million against EUR -80 million last year.
Solvay studies the transformation of agro-resources from different areas (sugar cane, starch, cellulose, vegetable oils, etc.) for competitive production of chemical intermediaries or creation of new monomers that would broaden the specialty polymers portfolio. Thus an agreement for collaboration was concluded in 2011 with the Dutch startup Avantium, dealing with the use of a bio-sourced monomer for the chain of semi-aromatic polyamides.
The acquisition of Rhodia enabled the Solvay Group to expand this partnership agreement at the start of 2012; it offers the partners a unique opportunity to explore a wide range of bio-sourced compositions and applications based on Avantium's YXY technology in the larger Polyamide field.
| 4rd quarter | 12 months | |||
|---|---|---|---|---|
| Key data (in million EUR) | 2011 | Change in % | 2011 | Change in % |
| Net sales | 824 | -3% | 3 686 | 10% |
| Specialty Polymers | 306 | 7% | 1 251 | 9% |
| Vinyls | 518 | -7% | 2 435 | 10% |
| Vinyls Europe | 281 | -10% | 1 394 | 10% |
| Vinyls Asia | 77 | -2% | 330 | 9% |
| Vinyls South America | 126 | -2% | 545 | 11% |
| Plastics Integration | 33 | -10% | 166 | 5% |
| REBITDA | 68 | -52% | 590 | 6% |
| Specialty Polymers | 76 | 10% | 365 | 27% |
| Vinyls | -9 | -113% | 218 | -4% |
| Accounting rules harmonization | 2 | -65% | 6 | -65% |
Net sales of Specialty Polymers were up by 7%, despite a slight drop (-4%) in sales volume. This was primarily due to the slowdown in demand in electronics and photovoltaics. The demand from other end-markets remained steady. The impact of the drop in volumes was largely compensated for by the foreign exchange impact (+1%) and the higher level of sales prices (+10%); these prices were increased during preceding quarters in a context of very sustained demand.
REBITDA amounted to EUR 76 million, up by 10%. The margin – REBITDA on net sales – amounted to 25% compared to 24% in the 4th quarter of 2010. While still excellent, it is lower than the very high margin realized during the first nine months of 2011 (31%) due to some softening in sales and a slowdown in production in order to reduce inventories, which reached a low level at the end of this year. The current context of economic uncertainty led the GBU to adopt a conservative attitude by optimizing cash generation, and pursuing cost reduction and maximizing its operational performance. The efforts of R&D, at the heart of the strategy of this GBU, were continued. The innovation program is very promising: over 1300 ongoing projects help keeping the New Sales Ratio above 30%.
Net sales amounted to EUR 518 million, down by 7% due to a global drop in volumes (-6%). The effect was felt particularly in Europe. The demand for PVC remains very weak there in a context of economic sluggishness and a strict management of inventory by customers. The sales prices of PVC trended downward in the 4th quarter; this was true in the different regions of the world.
REBITDA amounted to EUR -9 million compared to EUR 69 million in the 4th quarter of 2010. In Europe, it was greatly penalized by weak demand and compression of margins. Priority was given to cash generation and in particular reduction of inventory. The slowdown in production rates, however, negatively impacted the result. In Latin America, overall demand remained good but the margins showed a drop in the 4th quarter due to pressure from imports. Solvay Indupa posted better results than in 2010 on an annual basis due especially to more consistent production rates that were better aligned with available capacity. In Asia, REBITDA from Vinythai, although down in the 4th quarter from 2010 mainly due to the effect of the flooding on the customers, posted overall for the year a growth of 24% compared to 2010, which is a new record.
Factors influencing net sales
(% of 4 Q10 net sales)
A recent study revealed the low carbon footprint being left by VinyLoop®, decreasing water consumption by 72%, energy consumption by 46% and greenhouse gas emissions by 39%.
VinyLoop®'s eco-consultants propose that its partners establish the carbon footprint of their applications such as sprinkler pipes, membranes and soles of shoes to be able to communicate these results to their customers, throughout the chain of value.
-7%
• Global resilience of sales despite a net slowdown in fluorinated chemicals and epichlorohydrin activities
| 4rd quarter | 12 months | |||
|---|---|---|---|---|
| Key data (in million EUR) | 2011 | Change in % | 2011 | Change in % |
| Net sales | 695 | 5% | 2 836 | 10% |
| Essential Chemicals2 | 558 | 5% | 2 237 | 11% |
| EMEA3 | 346 | 1% | 1 429 | 12% |
| North America | 120 | -8% | 474 | -8% |
| South America | 34 | 62% | 131 | 53% |
| Asia Pacific | 57 | 49% | 203 | 43% |
| Special Chemicals | 138 | 5% | 599 | 8% |
| REBITDA | 103 | -15% | 491 | 4% |
| Essential Chemicals | 101 | -3% | 419 | 9% |
| Special Chemicals | 1 | -95% | 64 | -10% |
| Accounting rules harmonization | 2 | -65% | 6 | -65% |
Only the Sector's figures are pro forma figures, the pro forma adjustments, summarized in the rubric «Accounting rules harmonization» not being allocated by clusters of activity
Soda ash exports from the USA no longer go through ANSAC but are directly handled by Solvay since January 1, 2011. This largely explains the sales drop in North America and the higher sales in Asia and South America.
Europe, Middle-East and Africa
Net sales were up by 5% to EUR 558 million.
• Soda ash demand remained steady overall in the fourth quarter. In Europe, the business remained at a good level, due to very good strength in container glass. In the United States, Solvay benefited from strong demand from Asia and South America. Bicarbonate sales remained at a very good level; all segments of the market improved, in particular the environmental and medical applications. Sales from this activity also benefited from higher prices. It should be noted that at the start of 2012, that there were new price hikes in Europe, the United States and export markets and a reduction in duration of European contracts, which henceforth will be mostly for six-month periods.
• In caustic soda, demand continued at a good level in the fourth quarter while offer was limited by the drop in PVC production, explaining the increase in sales prices to a level clearly higher than last year. This price hike continued into the first quarter of 2012.
• The epichlorohydrin activity is confronted since the third quarter with a net slowdown in demand, having a significant impact on volumes and sales prices. A gradual recovery of the activity has been observed in early 2012.
• For hydrogen peroxide, sales are similar to the very high level of the 4th quarter of 2010. Volumes remained sustained by high demand for paper pulp in Asia and Latin America. Except for the textile markets in Asia, the other end uses, the chemicals industry, the mining industry and environmental applications, continued to do well. In percarbonates, sales lagged. Sales prices posted improvement at the start of 2012.
REBITDA of EUR 101 million (EUR 104 million last year) showed the resilience of this activity in a more difficult economic context. The margin - REBITDA on net sales - amounted to 18%. It was only slightly lower than the annual margin (19%) despite the reduced activity and the maintenance costs inherent in the fourth quarter. This margin level is explained by the capacity to compensate for the rise in energy costs by increases in sales price and volumes.
Net sales amounted to EUR 138 million, up by 5% compared to last year due to improved sales volumes. They trended downward, however, on a sequential basis. This drop is explained by a drop in sales of fluorinated chemicals due to a slowdown in demand in electronics and much stiffer international competition in the refrigerant applications, with a negative impact on volumes and on sales price.
REBITDA amounted to EUR 1 million compared to EUR 12 million last year. The profit margin of this branch of activity was heavily impacted by the drop in sales prices for fluorinated chemicals while production costs remained high; the latter were especially high in the fourth quarter due to maintenance on certain production units and the higher cost of fluorspar following internal supply problems. The financial performance of Molecular Solutions remains loss-making.
This joint venture* will build, own and operate modular on-site fluorine cleaning gas production units for the flat panel display and photovoltaic panel industries; it will offer these industries an economic cleaning gas that is reliable and free of greenhouse gas emissions.
* The creation of the joint venture is subject to approval by the competition authorities.
Opening note: Rhodia is consolidated in the Solvay Group's income and cash flow statements as from 1 October 2011. The annual results as presented are pro forma. They are intended to help appreciate the operational performance of the Rhodia Sector in the full year 2011 and are presented in accordance with the Solvay Group's accounting principles.
| 4rd quarter | 12 months | ||||
|---|---|---|---|---|---|
| Key data (in million EUR) | 2011 | Change in % | 2011 | Change in % | |
| Net sales | 1 479 | 11% | 6 171 | 20% | |
| Consumer Chemicals | 617 | 28% | 2 451 | 30% | |
| Advanced Materials | 218 | 45% | 891 | 65% | |
| Polyamide Materials | 406 | -6% | 1 802 | 6% | |
| Acetow & Eco Services | 228 | 13% | 868 | 10% | |
| Energy Services | 55 | -17% | 219 | 8% | |
| Corporate & Others | 10 | -62% | 93 | -15% | |
| Accounting rules harmonisation | -55 | 150% | -153 | 122% | |
| REBITDA | 231 | -3% | 1 119 | 16% | |
| Consumer Chemicals | 90 | 53% | 364 | 32% | |
| Advanced Materials | 56 | 65% | 267 | 134% | |
| Polyamide Materials | 14 | -78% | 196 | -23% | |
| Acetow & Eco Services | 54 | 35% | 202 | 7% | |
| Energy Services | 44 | -25% | 175 | -2% | |
| Corporate & Others | -19 | 90% | -62 | 100% | |
| Accounting rules harmonisation | -8 | 14% | -23 | 35% |
Compared with pro forma 4th quarter 2010
Net sales REBITDA 1 479 million € 231 million € +11% -3%
Net sales amounted to EUR 617 million, up 28% quarteron-quarter, driven by resilient business dynamics, successful price increases of 19% and external growth by 10% from Feixiang acquisition. Within the cluster, Novecare continued to benefit from its innovative solutions for shale oil & gas exploitation, coupled with highly successful new product developments serving the Agro market. The Home & Personal care segment remained stable, offsetting for the most part a slight decline in the industrial & coatings segments. Coatis sales were up thanks to good pricing while volumes decreased against a baseline of strong phenol activity in the previous year. Aroma Performance continues to implement its strategic food safety repositioning.
REBITDA amounted to EUR 90 million, up 53% compared to the same quarter 2010. This improvement in profitability was due to the effectiveness of the various growth levers: a quality portfolio, geographical breath, innovation and external growth, coupled with strong pricing power. REBITDA margin improved to 15% compared to 12% in the fourth quarter 2010. Going forward, this cluster should remain a strong growth engine for the Group.
In the 4th quarter 2011, Advanced Materials reported net sales of EUR 218 million, up 45% compared to last year. Both segments, Silica and Rare Earth Systems, generated double-digit growth year-on year, benefiting from a product portfolio well-suited to global market sustainable mega trends and unmatched competitive positioning. Price increases remained strong (+40% year-on-year), primarily attributable to rare earths ore inflation. Overall volumes increased 5% compared to the same period the previous year, with both segments contributing to the expansion. Resilient catalysis activity at Rare Earth Systems in the quarter compensated for some slowdown in Electronics.
REBITDA stood at EUR 56 million, up +65% compared to the fourth quarter. REBITDA margin improved to 26% versus 23% last year and, as anticipated, lower than the 32% margin posted in the third quarter 2011 under exceptional pricing conditions. Both Silica and Rare Earth Systems enjoyed strong pricing.
Rare Earth Systems disposes of a unique optimized competitive sourcing that combines a presence in China and cutting-edge recycling expertise.
Factors influencing net sales
(% of 4 Q10 net sales)
Rare Earth Systems announced the signature of a letter of intent with Chinalco subsidiaries, aimed at developing a strategic cooperation in rare earth supply technology. This cooperation should further support the competitive sourcing of rare earth ore by the Group.
Net sales of EUR 406 million were down 6% against a demanding baseline in 2010. Overall volumes decreased by 13%, partly offset by price increases of 7%. Polyamide & Intermediates suffered generalized low textile demand and some temporary adverse developments affecting its customers (floods inThailand and strike issues). Fibras activity remained low, reflecting the eroded competitiveness of the Brazilian textile industry. Engineering Plastics reported volume decline for the first time due to weakened demand and cautious purchasing strategies in developed regions. Sustained good dynamics in the automotive market were more than offset by Electrical and Construction markets.
REBITDA decreased to EUR 14 million, versus EUR 64 million last year. Profitability erosion resulted from low volumes and corresponding adverse operating leverage effects. Weaker market dynamics translated into less favorable pricing conditions.
Acetow & Eco Services reported net sales of EUR 228 million, a 13% increase compared to the fourth quarter of 2010. This was primarily due to price increases across the two segments, globally amounting to +11%, whereas overall volume was slightly up +1%. Acetow reported a robust performance driven by continuous solid demand. Eco Services reported normal activity levels corresponding to the usual low seasonality.
REBITDA amounted to EUR 54 million, up 35% against a low comparative base of EUR 40 million reported in the same quarter the previous year related to time lag effects linked to sulfuric acid price developments.
In the 4th quarter, Energy Services reported REBITDA of EUR 44 million compared to EUR 59 million in the fourth quarter of 2010. Average selling prices for CERs went down to 10 EUR per ton from 13.5 EUR per ton in the same quarter last year, explaining profitability developments. Actual prices were nevertheless significantly higher than spot prices over the period (4 EUR in the 4th quarter 2011). Going forward into 2012, CER production levels are expected to remain stable at 14 million tons with 80% already hedged at an average price of 11.5 EUR per ton. In 2013, about 8 million tons of CER sales are expected, of which 65% are hedged at an average price of 13 EUR per ton CER. This coverage reflects the effectiveness of the Group's long-term hedging policy.
| 4rd quarter | 12 months | |||
|---|---|---|---|---|
| Million EUR (except for per-share figures in EUR) | 2011 | 20102 | 2011 | 20102 |
| Sales | 3 089 | 1 512 | 8 109 | 5 959 |
| Net sales | 2 998 | 1 507 | 8 001 | 5 937 |
| Cost of goods sold | -2 549 | -1 222 | -6 545 | -4 833 |
| Gross margin | 540 | 290 | 1 564 | 1 126 |
| Commercial and administrative costs | -290 | -132 | -660 | -482 |
| Research and development costs | -63 | -32 | -156 | -125 |
| Other operating gains and losses | -59 | 14 | -60 | 6 |
| Earnings from associates and joint ventures accounted for using the equity method |
26 | 5 | 61 | 46 |
| REBITDA | 355 | 231 | 1 208 | 930 |
| REBIT | 155 | 144 | 748 | 571 |
| Non-recurring items | -158 | -83 | -188 | -317 |
| EBIT | -3 | 61 | 560 | 254 |
| Cost of borrowings | -51 | -37 | -159 | -138 |
| Interest on lendings and short-term deposits | 8 | 8 | 39 | 22 |
| Other gains and losses on net indebtedness | -6 | -2 | -16 | -10 |
| Cost of discounting provisions | -35 | -13 | -72 | -52 |
| Income/loss from available-for-sale investments | 0 | 0 | 1 | 0 |
| Result before taxes | -87 | 17 | 354 | 76 |
| Income taxes | 68 | -1 | -19 | 21 |
| Result from continuing operations | -19 | 16 | 334 | 97 |
| Result from discontinued operations | 0 | 0 | -38 | 1 726 |
| Net income | -20 | 16 | 296 | 1 823 |
| Non-controlling interests | -4 | -18 | -50 | -47 |
| Net income Solvay share | -23 | -2 | 247 | 1 776 |
| Basic earnings per share from continuing operations | -0.28 | -0.03 | 3.51 | 0.62 |
| Basic earnings per share from discontinued operations | -0.01 | 0.00 | -0.47 | 21.22 |
| Basic earnings per share | -0.29 | -0.03 | 3.04 | 21.84 |
| Diluted earnings per share from continuing operations | -0.28 | -0.03 | 3.49 | 0.62 |
| Diluted earnings per share from discontinued operations | -0.01 | 0.00 | -0.47 | 21.18 |
| Diluted earnings per share | -0.29 | -0.03 | 3.03 | 21.80 |
The income statement of Rhodia is consolidated since the 4th quarter 2011.
Restated to take the changes in joint venture accounting into account.
Non-recurring items amounted to EUR –188 million. They were impacted by EUR -160 million by the reevaluation at fair value of the Rhodia inventory included in the opening balance sheet on September 30, 2011. They also included reversal of a provision of EUR 27 million following the decision by the European Court of Justice to annul the fines imposed on Solvay by the European Commission in 2000 for violation of competition rules in the soda ash market for the period preceding 1990 as well as a partial reversal by EUR 24 million of the existing provision following the decision by the European General Court to reduce the fine imposed on Solvay in 2006 by the European Commission for violations of competition rules in the peroxide market. Solvay decided to appeal this latter judgment. They are also impacted by the costs of acquisition of the Rhodia Group of EUR 33 million and restructuring costs linked to the implementation of Horizon (EUR 15 million).
Charges on net indebtedness amounted to EUR -208 million. Charges on borrowings amounted to EUR -159 million. The gross financial debt of the Solvay Group amounted to EUR 4 168 million at the end of December 2011. Interest on cash deposits and investments amounted to EUR 39 million. The cost of discounting provisions amounted to EUR -72 million.
Income taxes amounted to EUR -19 million. Note the recognition of EUR 60 million defered tax assets linked to an internal sale of the activities of Solvay Advanced Polymers Belgium, a EUR 31 million impairment loss on a defered tax asset in Belgium and a EUR 47 million reduction of defered tax liabilities linked to the allocation of the purchase price of Rhodia.
Net income amounted to EUR 296 million. The negative contribution of "discontinued operations" of EUR -38 million is explained primarily by the adjustment of EUR –47 million with regard to working capital after closing of the sales of the pharmaceuticals activities.
Net income Solvay share amounted to EUR 247 million.
| 4rd quarter | 12 months | ||||
|---|---|---|---|---|---|
| Million EUR | 2011 | 2010 | 2011 | 2010 | |
| Net income | -20 | 16 | 296 | 1 823 | |
| Gains and losses on available-for-sale financial assets | -2 | -7 | -8 | -10 | |
| Gains and losses on hedging instruments in a cash flow hedge | 7 | 2 | 3 | 2 | |
| Actuarial gains and losses on defined benefit pension plans | -70 | 2 | -105 | -183 | |
| Currency translation differences | 139 | 16 | 58 | 251 | |
| Share of other comprehensive income of associates and joint ventures accounted for using the equity method |
9 | 45 | -31 | 27 | |
| Income tax relating to components of other comprehensive income |
14 | -2 | 28 | 52 | |
| Other comprehensive income, net of related tax effects | 97 | 56 | -54 | 139 | |
| Comprehensive income attributed to | 77 | 72 | 242 | 1 962 | |
| Owners of the parent | 60 | 48 | 202 | 1 876 | |
| Non-controlling interests | 17 | 24 | 40 | 86 |
| Million EUR | December 31, 2011 | December 31, 2010 |
|---|---|---|
| Non-current assets | 12 064 | 5 090 |
| Intangible assets | 1 705 | 111 |
| Goodwill | 2 599 | 68 |
| Tangible assets | 5 652 | 3 276 |
| Available-for-sale investments | 80 | 62 |
| Investments in joint ventures and associates – equity method |
704 | 346 |
| Other investments | 125 | 275 |
| Deferred tax assets | 780 | 631 |
| Loans and other non-current assets | 420 | 322 |
| Current assets | 7 373 | 8 633 |
| Inventories | 1 578 | 761 |
| Trade receivables | 2 311 | 1 651 |
| Income tax receivables | 43 | 12 |
| Dividends receivable | 0 | 1 |
| Other current receivables - Financial instruments | 464 | 3 722 |
| Other current receivables – Other | 938 | 533 |
| Cash and cash equivalents | 1 943 | 1 954 |
| Assets held for sale | 95 | 0 |
| TOTAL ASSETS | 19 437 | 13 723 |
| Total equity | 6 653 | 6 708 |
| Share capital | 1 271 | 1 271 |
| Reserves | 4 885 | 5 017 |
| Non-controlling interests | 497 | 419 |
| Non-current liabilities | 8 179 | 4 692 |
| Long-term provisions: employees benefits | 2 595 | 1 003 |
| Other long-term provisions | 1 325 | 946 |
| Deferred tax liabilities | 710 | 163 |
| Long-term financial debt | 3 374 | 2 535 |
| Other non-current liabilities | 174 | 46 |
| Current liabilities | 4 605 | 2 323 |
| Short-term provisions: employees benefits | 39 | 78 |
| Other short-term provisions | 230 | 58 |
| Short-term financial debt | 794 | 148 |
| Trade liabilities | 2 232 | 1 428 |
| Income tax payable | 51 | 62 |
| Dividends payable | 100 | 100 |
| Other current liabilities | 1 159 | 450 |
| TOTAL EQUITY & LIABILITIES | 19 437 | 13 723 |
Equity attributable to equity holders of the parent
| Fair value differences |
|||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Million EUR | Share capital | Issue premiums | Retained earnings | Treasury shares | translation diff. Currency |
Available for sale investments |
Cash flow hedges | Defined benefit pension plans |
Total | Non-controlling interests |
Total equity |
| Balance – 31/12/2009 | 1271 | 18 | 4272 | -218 | -612 | 21 | 3 | 0 | 4.754 | 406 | 5160 |
| Net profit for the period | 1777 | 1.777 | 46 | 1823 | |||||||
| Income and expenses directly allocated to equity |
238 | -10 | 1 | -131 | 99 | 40 | 139 | ||||
| Comprehensive income | 0 | 0 | 1777 | 0 | 238 | -10 | 1 | -131 | 1.876 | 86 | 1962 |
| Cost of stock options | 10 | 10 | 10 | ||||||||
| Dividends | -240 | -240 | -8 | -248 | |||||||
| Acquisition/sale of trea sury shares |
-83 | -83 | -83 | ||||||||
| Issure of share capital | 0 | 0 | |||||||||
| Increase (decrease) through changes in ownership interests in subsidiaries that do not result in loss of control |
-22 | -22 | -65 | -86 | |||||||
| Other | -6 | -6 | 0 | -6 | |||||||
| Balance – 31/12/2010 | 1271 | 18 | 5791 | -301 | -374 | 11 | 4 | -1311 | 6289 | 419 | 6708 |
| Net profit for the period | 247 | 247 | 50 | 296 | |||||||
| Income and expenses directly allocated to equity |
42 | -8 | 8 | -86 | -44 | -10 | -54 | ||||
| Comprehensive income | 0 | 0 | 247 | 0 | 42 | -8 | 8 | -86 | 202 | 40 | 242 |
| Cost of stock options | 9 | 9 | 9 | ||||||||
| Dividends | -250 | -250 | -14 | -263 | |||||||
| Acquisition/sale of trea | 10 | 10 | 10 | ||||||||
| sury shares | |||||||||||
| Issure of share capital Increase (decrease) |
0 | 0 | |||||||||
| through changes in | |||||||||||
| ownership interests in | -100 | -100 | 52 | -48 | |||||||
| subsidiaries that do not | |||||||||||
| result in loss of control | |||||||||||
| Other | -4 | -4 | 0 | -4 | |||||||
| Balance – 31/12/2011 | 1271 | 18 | 5693 | -292 | -332 | 3 | 12 | -217 | 6156 | 497 | 6653 |
| 4rd quarter | 12 months | |||
|---|---|---|---|---|
| Million EUR | 2011 | 2010 | 2011 | 2010 |
| EBIT | -5 | 62 | 515 | 287 |
| Depreciation, amortization and impairments | 192 | 93 | 455 | 607 |
| Changes in working capital | 506 | 112 | 303 | -34 |
| Changes in provisions | -56 | 55 | -187 | 21 |
| Income taxes paid | -74 | -39 | -163 | -96 |
| Others | -63 | -12 | -128 | -194 |
| Cash flow from operating activities | 500 | 272 | 794 | 590 |
| Acquisition (-) of subsidiaries | -31 | 0 | -3 984 | 0 |
| Acquisition (-) of investments - Other | -28 | -73 | -212 | -170 |
| Sale (+) of subsidiaries | 0 | -17 | 0 | 4 430 |
| Sale (+) of investments - Others | 39 | 0 | 40 | 279 |
| Acquisition (-) of tangible and intangible assets | -349 | -134 | -602 | -286 |
| Sale (+) of tangible and intangible assets | 11 | 2 | 17 | 19 |
| Income from available-for-sale investments | 0 | 0 | 1 | 1 |
| Changes in non-current financial assets | 3 | -34 | 60 | -206 |
| Other | 0 | 0 | 0 | 1 |
| Cash flow from investing activities | -355 | -255 | -4 679 | 4 068 |
| Capital increase (+) / redemption (-) | 0 | 0 | 31 | -27 |
| Acquisition (-) / sale (+) of treasury shares | -3 | 8 | 10 | -83 |
| Changes in borrowings | -221 | -6 | -97 | 12 |
| Changes in other current financial assets | -268 | 172 | 3 278 | -3 701 |
| Cost of borrowings | -51 | -37 | -159 | -142 |
| Interest on lendings and short-term deposits | 8 | 8 | 39 | 22 |
| Other | -6 | -2 | -16 | -10 |
| Dividends received from associates and joint ventures accounted for using the equity method |
19 | 6 | 56 | 32 |
| Dividends paid | -2 | 0 | -266 | -248 |
| Cash flow from financing activities | -524 | 149 | 2 877 | -4 144 |
| Net change in cash and cash equivalents | -379 | 167 | -1 008 | 515 |
| Currency translation differences | 5 | 4 | -1 | 25 |
| Cash entry of Rhodia | 0 | 0 | 931 | 0 |
| Cash entry of Orbeo | 67 | 0 | 67 | 0 |
| Opening cash balance | 2 250 | 1 783 | 1 954 | 1 415 |
| Closing cash balance | 1 943 | 1 954 | 1 943 | 1 954 |
| Free Cash Flow2 from continuing operations |
211 | 114 | 371 | 117 |
The cash flow statement of Rhodia is consolidated since the 4th quarter 2011
Cash flow from operating activities + cash flow from investing activities, excluding acquisitions and sales of subsidiaries and other investments + dividends from associates and JVs.
Free Cash Flow2
from discontinued operations -27 0 -44 35
| 4rd quarter | 12 months | ||||
|---|---|---|---|---|---|
| Million EUR | 2011 | 2010 | 2011 | 2010 | |
| Cash flow from operating activities | -27 | 0 | -44 | 35 | |
| Cash flow from investing activities | 0 | -17 | 0 | 4 430 | |
| Cash flow from financing activities | 0 | 0 | 0 | 0 | |
| Net change in cash and cash equivalents | -27 | -17 | -44 | 4 465 |
The cash flow from the Rhodia Sector was only consolidated in the fourth quarter 2011 as the acquisition was closed in September 2011.
Cash flow from operating activities from continuing operations was EUR 838 million. Besides a EUR 515 million EBIT, it consisted of:
Cash flow from investing activities from continuing operations was EUR -4 679 million.
Free Cash Flow from continuing operations was EUR 371 million in 2011.
2012 investment budget is EUR 862 million. It aims at continuing the strategic investments for sustainable development and capacity increases in regions with a large growth potential.
2012 Research and Development budget is EUR 244 million. It foresees strong R&D efforts for Specialty Polymers, Consumer Chemicals and New Business Development.
| 4rd quarter | 12 months | |||
|---|---|---|---|---|
| Million EUR | 2011 | 2010 | 2011 | 2010 |
| Sales | 3 088 | 1 512 | 8 109 | 5 959 |
| Plastics | ||||
| Sales | 878 | 1 030 | 3 954 | 4 071 |
| Inter-segment sales | -54 | -185 | -268 | -709 |
| External sales | 824 | 845 | 3 686 | 3 361 |
| Chemicals | ||||
| Sales | 734 | 762 | 2 997 | 3 009 |
| Inter-segment sales | -34 | -95 | -139 | -412 |
| External sales | 700 | 667 | 2 858 | 2 597 |
| Rhodia | ||||
| Sales | 1 569 | 1 569 | ||
| Inter-segment sales | -4 | -4 | ||
| External sales | 1 565 | 1 565 | ||
| REBITDA | 355 | 231 | 1 208 | 930 |
| Plastics | 67 | 139 | 583 | 538 |
| Chemicals | 101 | 117 | 484 | 455 |
| Rhodia | 231 | 231 | ||
| New Business Development | -17 | -6 | -38 | -25 |
| Corporate and Business Support | -28 | -18 | -51 | -37 |
| REBIT | 155 | 144 | 748 | 571 |
| Plastics | 18 | 90 | 391 | 344 |
| Chemicals | 63 | 80 | 334 | 297 |
| Rhodia | 120 | 120 | ||
| New Business Development | -17 | -6 | -39 | -26 |
| Corporate and Business Support | -29 | -20 | -58 | -45 |
| EBIT | -3 | 61 | 560 | 254 |
| Plastics | 18 | 77 | 373 | 437 |
| Chemicals | 60 | 81 | 349 | -34 |
| Rhodia | -38 | -38 | ||
| New Business Development | -17 | -6 | -39 | -26 |
| Corporate and Business Support | -26 | -90 | -85 | -123 |
The consolidated financial statements were prepared in conformity with IFRS standards as currently adopted in the European Union. The same accounting policies have been implemented as for the latest annual financial statements, except for the elements developed in the note 3 below. The primary variations in perimeter between 2010 and 2011 involve:
Deloitte confirmed that the fieldwork related to the audit of the consolidated financial statements of Solvay SA/NV ("the company") and its subsidiaries (jointly "the group"), prepared in accordance with International Financial Reporting Standards as adopted by the European Union and with the legal and regulatory requirements applicable in Belgium, is substantially completed. Deloitte confirmed that the financial information shown in this press release requires no comments on its part and is in agreement with the consolidated financial statements of the group. The complete audit report related to the audit of the consolidated financial statements will be shown in the 2011 annual report that will be published on the Internet (www.solvay.com) at the end of March 2012
Since January 1, 2011, the Solvay Group has consolidated its joint ventures by the equity method and no longer by the proportionate method (in line with IAS 31).
Consolidation by the equity method leads to recognize in the consolidated accounts only the Group share of:
The net financial situation of the joint ventures will no longer be reported.
The reasons for applying this new accounting policy are the following ones:
For long term post-employment benefits provisions (IAS19), this leads Solvay to recognize changes in actuarial gains and losses outside income statement directly in equity (Other Comprehensive Income) instead of keeping the corridor method. This is an anticipation of the revised IAS19 norm which will no longer recognize the corridor method from 2013 onwards. Additionally, the discount rates and mortality tables are harmonized.
The following tables summarize the impact of those modifications of accounting methods:
| 12 months 2011 | 12 months 2010 | |||
|---|---|---|---|---|
| Million EUR | Continuing Operations1 | Continuing Operations1 | ||
| Equity method | Proportionate method |
Equity method | Proportionate method |
|
| Sales | 8 109 | 8 731 | 5 959 | 6 796 |
| Gross Margin | 1 564 | 1 708 | 1 126 | 1 301 |
| REBIT | 748 | 767 | 571 | 602 |
| EBIT | 560 | 577 | 254 | 274 |
| Result before taxes | 354 | 366 | 76 | 93 |
| Net income | 334 | 334 | 97 | 97 |
| Net income Solvay share | 285 | 285 | 51 | 51 |
| Other comprehensive income | -54 | -54 | 100 | 231 |
| Comprehensive income | 279 | 279 | 197 | 327 |
| 12 months 2011 | 12 months 2010 Continuing Operations1 |
||||
|---|---|---|---|---|---|
| Million EUR | Continuing Operations1 | ||||
| Equity method | Proportionate method |
Equity method | Proportionate method |
||
| Cash flow from operating activities | 839 | 844 | 555 | 662 | |
| Cash flow from investing activities | -4679 | -4 728 | -363 | -454 | |
| Cash flow from financing activities | 2 877 | 2 909 | -4 144 | -4185 |
| After Rhodia's acquisition |
Before Rhodia's acquisition | ||||||
|---|---|---|---|---|---|---|---|
| 31/12/2011 | 31/12/2010 | 31/12/2009 | |||||
| Million EUR | Equity method | Proportionate method |
after «abandon of Equity method corridor» |
before «abandon of Equity Method corridor» |
Proportionate method |
Equity method | Proportionate method |
| Non-current assets | 12 064 | 12 114 | 5 090 | 5 076 | 5 205 | 4 906 | 5 075 |
| Current assets including: | 7 373 | 7 635 | 8 633 | 8 633 | 8 809 | 7 173 | 7 471 |
| Assets held for sale – Pharma | 3 408 | 3 408 | |||||
| Assets held for sale – Other | 95 | 248 | 53 | 53 | |||
| Total assets | 19 437 | 19 749 | 13 723 | 13 709 | 14 014 | 12 079 | 12 546 |
| Total equity | 6 653 | 6 653 | 6 708 | 6 839 | 6 839 | 5 160 | 5 160 |
| Non-current liabilities | 8 179 | 8 375 | 4 692 | 4 547 | 4 636 | 4 396 | 4 536 |
| Current liabilities including: | 4 605 | 4 721 | 2 323 | 2 323 | 2 540 | 2 524 | 2 851 |
| Liabilities associated with assets held for sale - Pharma |
1 012 | 1 012 | |||||
| Liabilities associated with assets held for sale - Other |
152 | 11 | 11 | ||||
| Total equity & liabilities | 19 437 | 19 749 | 13 723 | 13 709 | 14 014 | 12 079 | 12 546 |
Based on the results of the tender offer, 95.9% of the share capital and of the voting rights of Rhodia were acquired by Solvay on September 7, 2011, together with 97.51% of the convertible bonds "OCEANE".
Solvay implemented a squeeze-out procedure for the remaining shares (4.1%) and convertible bonds on September 15, 2011.
The contributive opening balance sheet of Rhodia was consolidated in the Group accounts on September 30, 2011.
Rhodia's results and cash flow were consolidated as from October 1, 2011.
Rhodia's opening balance sheet as at September 30, 2011 is subject to the Purchase Accounting (IFRS 3). This led to:
Regarding the squeeze-out of the 4.1% remaining shares, the difference between the price paid to acquire those shares and the book value in the Group's accounts of 4.1% of Rhodia's net assets under provisional accounting is recognized against Group's equity, without impact on goodwill and income statement.
| Amounts recognized in Solvay's balance sheet for major classes of assets and liabilities (IFRS 3 B64 – i) | |||
|---|---|---|---|
| Amounts recognized in Solvay's balance sheet |
Acquisition of 95.9% of total shares |
Squeeze-out of the 4.1 remaining shares |
|
|---|---|---|---|
| Price consideration | 3 816 | 137 | |
| Vested and non-vested stock options | 60 | ||
| Subtotal | 3 876 | 137 | |
| Tangible fixed assets | 2 164 | ||
| Intangible fixed assets | 1 607 | ||
| Investments | 104 | ||
| Loans and other non current assets | 120 | ||
| Working capital | 752 | ||
| Assets held for sale | 34 | ||
| Deferred taxes | -504 | ||
| Provisions | -2 145 | ||
| Income tax payables | -15 | ||
| Other non current debt | -72 | ||
| Net financial debt | -647 | ||
| Net Assets | 1 398 | 1 341 | 57 |
| Provisionnal goodwill | 2 535 | ||
| Reduction of equity | 80 | ||
| Total | 3 876 | 137 |
As part of the acquisition, Solvay has signed a liquidity clause for Rhodia beneficiaries granted with non-vested and vested (but restricted) share-based payment. For vested share-based payments, this liquidity clause has been analyzed as a deferred payment, no future service being required from the beneficiaries. This financial liability has been measured at fair-value at the acquisition date and included in consideration transferred. As this financial liability is indexed to Solvay share price, until the liability is settled, it will be remeasured at the end of each reporting period and at the date of settlement, with any changes in value recognised in profit or loss of the period. All adjustments will be recognised in non-recurring items.
The fair value of the intangible assets is mainly comprised of acquired customer relationships for EUR 696 million and of technologies for EUR 649 million.
Inventories have been revalued for EUR 205 million. The reversal of this step up in 2011 and 2012 is accounted for as non-recurring items.
Contingent liabilities have been recognized for EUR 100 million. They relate to environmental, tax and legal contingent liabilities. As of December 31, 2011 there has been no change in the amount recognized for the liabilities at September 30, 2011, as there has been no change in the range of outcomes or assumptions used to develop the estimates.
The Purchase Price Allocation is still provisional as:
This goodwill is mainly made up by synergies expected to occur on corporate functions and procurement (total savings estimated at EUR 250 million per year), as well as future business development.
None of the goodwill is expected to be deductible for income tax purposes.
The acquisition costs for Rhodia expensed at the end of December 2011 amounted to EUR 33 million and were accounted for as non-recurring items.
Since acquisition date, Rhodia's total sales amounted to EUR 1 569 million and the net result amounted to EUR -47 million, of which EUR 29 million of additional depreciation of intangible assets following the fair value exercise.
The pro forma key figures on a full year and quarterly basis are shown on pages 4 to 15 of this press release.
The table hereafter reconciles the 2011 IFRS results with the 2011 pro forma results.
| 2011 IFRS results |
PPA impacts |
Rhodia IFRS results as of 30/09/11 |
Adjustments1 | 2011 pro forma results |
|
|---|---|---|---|---|---|
| Net sales | 8 001 | 0 | 4 790 | -98 | 12 693 |
| REBITDA | 1 208 | 0 | 853 | 6 | 2 068 |
| REBIT | 748 | 29 | 640 | -10 | 1 408 |
| Non recurring items | -188 | 160 | -57 | 102 | 18 |
| EBIT | 560 | 189 | 583 | 93 | 1 426 |
| Result before taxes | 354 | 189 | 441 | 94 | 1 077 |
| Income taxes | -19 | -47 | -178 | -7 | -251 |
| Net result from continuing opera tions |
334 | 142 | 263 | 86 | 825 |
| Net result from discontinued opera tions |
-38 | 0 | -4 | 0 | -41 |
| Net income | 296 | 142 | 259 | 86 | 784 |
This results report contains regulated information and is established in compliance with IAS 34. A risk analysis is included in the annual report, which is available on www.solvay.com.
| Closing | Average | |||||
|---|---|---|---|---|---|---|
| 1 Euro | 2011 | 2010 | 2011 | 2010 | ||
| Pound Sterling | GBP | 0.835 | 0.861 | 0.868 | 0.858 | |
| American Dollar | USD | 1.294 | 1.336 | 1.392 | 1.326 | |
| Argentine Peso | ARS | 5.577 | 5.329 | 5.754 | 5.194 | |
| Brazilian Real | BRL | 2.416 | 2.218 | 2.327 | 2.332 | |
| Thai Baht | THB | 40.991 | 40.170 | 42.430 | 42.025 | |
| Japanese Yen | JPY | 100.20 | 108.65 | 110.96 | 116.25 |
| 2011 | 2010 | |
|---|---|---|
| Number of shares issued at the end of the period | 84 701 133 | 84 701 133 |
| Average number of shares for IFRS calculation of earnings per share |
81 223 941 | 81 320 011 |
| Average number of shares for IFRS calculation of diluted income per share |
81 546 384 | 81 499 005 |
Christian Jourquin, Chairman of the Executive Committee, and Bernard de Laguiche, Chief Financial Officer, declare that to the best of their knowledge:
March 31, 2012: Annual report 2011 on www.solvay.com
May 7, 2012: Announcement of 1st quarter 2012 results (at 18:00)
May 8, 2012: Annual Shareholders' Meeting (at 10:30)
May 15, 2012: Payment of the balance of the 2011 dividend (coupon no. 90). Trading ex-dividend as from May 10, 2012
July 27, 2012: Announcement of the 2nd quarter and of the six months 2012 results (at 07:30)
October 25, 2012: Announcement of the 3rd quarter and the nine months 2012 results and the interim dividend for 2012 (payable in January 2013, coupon no. 91) (at 07:30)
Corporate Press Officer - Solvay Tel: 32 2 264 15 30
E-mail: [email protected]
Media Relations - Rhodia Tel: +33 (0)1 53 56 59 62
E-mail: [email protected]
E-mail: [email protected]
Head of Investor Relations - Solvay Tel: 32 2 264 15 40
E-mail: [email protected]
Head of Investor Relations - Rhodia Tel: 33 (0)1 53 56 64 89
E-mail: [email protected]
SOLVAY is an international chemical Group committed to sustainable development with a clear focus on innovation and operational excellence. Its recent acquisition of specialty chemicals company Rhodia created a much larger player, which is realizing over 90% of its sales in markets where it is among the top 3 global leaders. Solvay offers a broad range of products that contribute to improving the quality of life and the performance of its customers in markets such as consumer goods, construction, automotive, energy, water and environment, and electronics. The Group is headquartered in Brussels, employs about 29,000 people in 55 countries and generated EUR 12.7 billion in net sales in 2011 (pro forma). Solvay SA (SOLB.BE) is listed on NYSE Euronext in Brussels and Paris (Bloomberg: SOLB.BB - Reuters: SOLBt.BR).
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