BERGEN GROUP

Presentation of Q3 2010

Oslo, November 12th 2010 at hrs 14.00 CET

CEO Pål Engebretsen
CFO Terje Iversen

BERGEN GROUP

DISCLAIMER

This quarter Presentation includes and is based, inter alia, on forward-looking information and statements that are subject to risks and uncertainties that could cause actual results to differ. Such forward-looking information and statements are based on current expectations, estimates and projections about global economic conditions, the economic conditions of the regions and industries that are major markets for Bergen Group ASA and its subsidiaries. These expectations, estimates and projections are generally identifiable by statements containing words such as "expects", "believes", "estimates" or similar expressions. Important factors that could cause actual results to differ materially from those expectations include, among others, economic and market conditions in the geographic areas and industries that are or will be major markets for Bergen Group's businesses, oil prices, market acceptance of new products and services, changes in governmental regulations, interest rates, fluctuations in currency exchange rates and such other factors as may be discussed from time to time. Although Bergen Group ASA believes that its expectations and the information in this Presentation were based upon reasonable assumptions at the time when they were made, it can give no assurance that those expectations will be achieved or that the actual results will be as set out in this Presentation. Bergen Group ASA nor any other company within the Bergen Group is making any representation or warranty, expressed or implied, as to the accuracy, reliability or completeness of the information in the Presentation, and neither Bergen Group ASA, any other company within the Bergen Group nor any of their directors, officers or employees will have any liability to you or any other persons resulting from your use of the information in the Presentation. Bergen Group ASA undertakes no obligation to publicly update or revise any forward-looking information or statements in the Presentation.

BERGEN

BERGEN GROUP

AGENDA

Highlights in Q3, 10
Operational review
Financial review
Strategy and Outlook

BERGEN GROUP

CHANGING IN OWNERSHIP – INDUSTRIAL POTENTIAL

Spring Capital Resources as new major share holder with 33,1 % ownership
Constructive process with Spring Capital Resources and CIMIC Raffles about mapping the possibilities.
Focus on complimentarily issues that will strengthen the operational and competitive position
Ongoing discussions in progress

The naming sermonic of COSLPIONEER at CIMIC Raffles in October 2010

BERGEN GROUP
4

INTERNATIONAL OWNERSHIP – INDUSTRIAL POTENTIAL

*According to the companies webpages

BERGEN GROUP

HIGHLIGHTS IN Q3 2010

Operating revenues as in Q2
reduced margins
Operating revenues of NOK 767 mill
EBITDA of NOK 8 mill
Order backlog of NOK 4.2 billion 30.09
Increased tender activity expected to materialize in new contracts the coming quarters
Cost reducing actions in process
Reduced debt
Strong cash flow

BERGEN GROUP
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AGENDA

Highlights in Q3 10
Operational review
Financial review
Strategy and Outlook

BERGEN GROUP

BERGEN GROUP SHIPBUILDING

BERGEN GROUP

CONTINUED GOOD MARGINS IN SHIPBUILDING

EBITDA-margin of 7,2 % in Q3
Accumulated EBITA of 11,6 % as of Sept 30th 2010.
Fjord Line contract on track
Steel cutting started October 26th
First hull to be delivered Fosen in Q3 2011
Five deliveries have taken place in 2010
Q1: Ceo Caspian (Volstad)
Q2: Mermaid Endurer (Mermaid)
Q3: Island Enforcer (Island Offshore)
Geo Coral (Fugro)
Q4 BN 167 (Solstad)
Bergen Group ShipDesign well established
focusing concept developments for the next generation offshore and RoPax-vessel

BERGEN GROUP

ORDER BACKLOG SHIPBUILDING PER 30.09.10

	2009				2010				2011				2012
	Q1	Q2	Q3	Q4	Q1	Q2	Q3	Q4	Q1	Q2	Q3	Q4	Q1	Q2	Q3	Q4
BN 123: Geo-Technical Multipurpose Vessel / Fugro
BN 163: DSV / Diving Support Vessel / Mermaid
BN 164: DSV / ROV / Offshore Construction Vessel / Island Offshore
BN 165: Seismic Vessel / Fugro
BN 166: ROV / Offshore Construction Vessel / Fugro
BN 167: DSV / ROV / Offshore Construction Vessel / Solstad
BN 82: Seismic Vessel / Volstad
BN 83: AHTS / BOA*
BN 84: AHTS / BOA*
BN 85: AHTS / BOA*
BN 86: AHTS / BOA*
BN 87: CRUISE FERRY / Fjord Line
BN 88: CRUISE FERRY / Fjord Line

☐ BG FOSEN
☐ BG BMV
☐ BG HALSNØY (Maritime Service from Q4 09)

BN 83-86 (BOA Offshore) has not yet settled the final fundings - and the time scale for these projects remain uncertain.
BN 83-86: Customer funding still not complete - start-up time remain uncertain
BN 87-88: Fjord Line-contract progressing on track. Option for a 3rd vessel
BN 166 to be delivered in May 2011.

BERGEN GROUP
10

15 "STATE OF THE ART" SHIP DELIVERED 2007-2010

BERGEN GROUP
11

OUTLOOK SHIPBUILDING

Strengthened PSV-market in 2010
Present ATHS and OCV weak, but marked expected to regain the next years:

Delivery schedule AHTS > 10,000 BHP

demand for more advanced vessels to handle the increase in complex subsea operations
aging fleet combined with decrease in contract/deliveries 2012 and going forward.
Higher focus on environmental protection and risk reduction in offshore operations – demand or next generation vessels

BERGEN GROUP
12

BERGEN GROUP OFFSHORE

BERGEN GROUP

OFFSHORE – STRONG GROWTH POTENTIAL

God project-margins, but low capacity utilization
Negative EBITDA-margin of 8% in Q3
Order intake of NOK 175 mill in Q3
Extended work for both SBM/YME and Deepsea Atlantic
Engineering capacity re-organized and strengthened
Strengthening of the management and the coordination within the division

BERGEN GROUP
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ORDER BACKLOG OFFSHORE PER 30.09.2010

	2009	2010	2011	2012	2013
	Q2 Q3 Q4	Q1 Q2 Q3 Q4	Q1 Q2 Q3 Q4	Q1 Q2 Q3 Q4	Q1 Q2 Q3 Q4
Snorre Vigdís redevelopment / Statoil
Yme early works + completion / SBM Offshore
Contracted services for M5 work / Statoil 1)
Fabrication of Troll P-12 spool / Technip
Frame Agreement Greater Ekofisk Area /ConocoPhilips 2)
Polar Pioneer and Transocean Arctic/ Transocean
Songa Trym / Songa Offshore
Modifications/Upgrades/Aker H6 units/ AkerSolutions
BOP Deep Sea Atlantic / Odfjell Drilling
Short term Mooring Safe Scandinavia / Prosafe

1) A 3 year contract signed July 2010, with two 1 years option.
2) The Frame Agreement with ConocoPhilips has an optional extension of 2+2 years from 01.01. 2011.

Increased work scope on existing contracts
Order backlog expected to improve within the next quarters

BERGEN GROUP
15

BERGEN GROUP – STRATEGIC LOCATIONS

BERGEN GROUP

MARKET OUTLOOK OFFSHORE

Ongoing bidding processes expected to materialize in new order intake this and next quarter.
General signals of market improvement within the divisions core operating areas:
An expected increase in maintenance and modification work on the Norwegian continental shelf.
Shortage of rigs on the NCS from now and in 2011. High focus on efficient yards stay. Possible modifications of UK-units to NCS-standard.
Stable and increasing oil price for the next years expected to uphold the increase in activity and investments.

BERGEN GROUP
17

BERGEN GROUP MARITIME SERVICE

BERGEN GROUP
18

MARITIME SERVICE – A FOCUS AREA

Margins influenced by a continued challenging market situation and low capacity utilization
Improvements in the order situation – will generate increased activity most of 1st half 2011
Structural changes within the division to be finalized in Q4 2010
Frame agreement with the Norwegian Navy generate both revenue and expertise
Prepared for further growth in activity – also international

BERGEN GROUP
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BERGEN GROUP TECHNOLOGY

BERGEN GROUP

TECHNOLOGY FOCUSING CONCEPT DEVELOPMENT

Concentrated workload in finishing major projects influents the margin
Continued strong focus on product and concept development
Bergen Group Dreggen well established in Brazil
Bergen Group Skarveland with NOK 24 mill-contract.
From pipe installation to system supplier
Increase in the divisions order back log expected in the near future

BERGEN GROUP
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QUARTERLY ORDER BACKLOG DEVELOPMENT

BERGEN GROUP

AGENDA

Highlights in Q4 09
Operational review
Financial review
Strategy and Outlook

BERGEN GROUP
23

INCOME STATEMENT Q3 2010

CONDENSED CONSOLIDATED INTERIM INCOME STATEMENT (UNAUDITED)

Condensed consolidated interim statement of income (unaudited)

Figures in NOK MILLION	Q3 2010	Q3 2009	30.09.2010	30.09.2009	YTD 2009
Operating revenues	767	1 388	2 528	3 839	5 108
Other operating costs	(759)	(1 282)	(2 367)	(3 569)	(4 692)
Operating profit before depreciation (EBITDA)	8	106	160	271	416
Ordinary depreciation	(15)	(12)	(41)	(35)	(45)
Excess depreciation and write down of goodwill ^{6}	(12)	(11)	(34)	(34)	(131)
Operating profit (EBIT)	(18)	82	86	202	289
Net interest costs	(21)	(37)	(79)	(56)	(81)
Profit before taxes	(39)	45	7	146	158
Net profit ^{2}	(28)	32	5	105	78
Earnings per share (NOK)	(0.57)	0.69	0.11	2.28	1.67
Diluted earnings per share (NOK)	(0.54)	0.61	0.10	2.18	1.58
Weighted avg. no. of shares outstanding (mill)	49.47	46.41	48.66	46.06	46.56
Diluted Weighted avg. no. of shares outstanding (mill)	52.88	52.99	52.88	48.23	49.13

1) Depreciation of identified excess values related to acquisitions
2) Tax in 2009 calculated based on an nominal tax rate of 20%

BERGEN GROUP
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EBITDA MARGIN - QUARTERLY DEVELOPMENT

Overall Q3-margin influenced by weak offshore-activity and technology projects
Accumulated overall EBITDA-margin pr. 30.09.10: 6,3 %

BERGEN GROUP

BALANCE SHEET

ASSETS

NOK million

EQUITY & LIABILITIES

NOK million

BERGEN GROUP

EQUITY RATIO STRENGTHENED

Equity ratio of 45 % per 30.09.10 – not including the convertible loan

BERGEN

BERGEN GROUP

NET INTEREST BEARING DEBT - REDUCTION

Net interest bearing debt pr 30.09.2010 of NOK 428 million
Significant reduction last quarters

BERGEN GROUP
28

SHIPBUILDING - RESOURCES & FINANCIALS

SHIPBUILDING – Q3 09 to Q3 10

Order backlog 30.09.10: NOK 3 787mill (30.06.10: NOK 4 307)

BERGEN GROUP

OFFSHORE - RESOURCES & FINANCIALS

Order backlog 30.09.10: NOK 142 mill. (30.06.10: NOK 156 mill)

*Order backlog does not include frame contracts

KIRKENES: BG Kimek

HAMMERFEST: BG Kimek

MURMANSK: BG Kimek

HANØYTANGEN: BG Hanøytangen

STAVANGEN: BG Rosenberg

BERGEN

BERGEN GROUP

TECHNOLOGY – RESOURCES & FINANCIALS

TECHNOLOGY – Q3 09 to Q3 10

DITJAR: BG Vest Elektro

BERGEN: BG Dreggen

SUNDE: BG Skarveland

POLAND: BG AMIA

Order backlog 30.09.10: NOK 234 mill (30.06.10: NOK 303 mill)

BERGEN GROUP

MARITIME SERVICE – RESOURCES & FINANCIALS

Order backlog* 30.06.10: NOK 16 mill (30.06.10: NOK 31 mill)

*Order backlog does not include frame contract with the Norwegian Navy

BERGEN GROUP

AGENDA

Highlights in Q3 10
Operational review
Financial review
Strategy and Outlook

BERGEN GROUP
33

INDUSTRIAL MARKET OUTLOOK – POSITIVE TREND

Increasing production output in ships and oil platforms by 3.6 per cent in Q3 and compared with the second quarter.

Production in the industry went down by 12 per cent from March 2009 to March 2010, according to seasonally-adjusted figures.

From March to September 2010, production is now up 8 per cent.

Stock of new order in the industry is still increasing

Selected industries. Seasonally adjusted. Three-month moving average¹. 1999-2010

¹ The index value for period m is the average of period m, m-1 and m-2.

Source: Statistics Norway/Statistisk Sentralbyrå November 2010

BERGEN GROUP
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BERGEN
BERGEN GROUP
35

Tror på økt oljepris

Publisert 09.11.2010 12:08:54 av Arild Gila

3 her: aqu

The Telegraph

HOME NEWS SPORT FINANCE LIFESTYLE COMMENT TRAVEL CULTURE TECHNOLOGY

Oil Prices

Oil hits two year high as analysts predict $100 a barrel in 2011

Oil prices rose to a two-year high in New York on Friday, raising fears of a return to $100 per barrel crude and consumer goods inflation.

Share: 100% ide etterspørsel etter olje og at oljeprisen skal opp.

Oil hits two year high

Wednesday, October 13, 2010 - 09:28

US EIA: World Oil Prices to Rise Gradually in 2011 on Growth

SHARE 100% Print Email

By Brai Odion-Esene

WASHINGTON (MNI) - Although the outlook for the world oil market is largely unchanged from the previous few months, the U.S. Energy Information Administration Wednesday said it expects world oil prices to rise gradually as global economic growth leads to higher global oil demand and growth in non-OPEC oil supply slows in 2011.

By Rowena Mason, Energy Correspondent 8:00PM GMT 05 Nov 2010

Comments

How one broker spent $520m in a drunken club

Bakelig fra de store, voksende økonomiene. Halvparten av olje vil komme fra Kina alene.

Ste 25 årene, til internasjonale

In i den totale ogikilden, sier IEA

ORDER INTAKE NORWEGIAN SHIPYARDS 2010

Source: Møreforskning

BERGEN GROUP

OUTLOOK – BERGEN GROUP

Improved market outlook
Order backlog about to improve
Focus on strengthening the profitability
International co-operation with exiting potential

BERGEN GROUP
37

BERGEN GROUP

QUALITY THROUGH SERVICE AND INNOVATION

THANK YOU FOR YOUR ATTENTION!

www.bergengroup.no

BERGEN GROUP

AI assistant

Endúr — Investor Presentation 2010

3593_rns_2010-11-12_97be8450-6629-4602-a2d4-3ebbc4626cb9.pdf

Presentation of Q3 2010

DISCLAIMER

AGENDA

CHANGING IN OWNERSHIP – INDUSTRIAL POTENTIAL

INTERNATIONAL OWNERSHIP – INDUSTRIAL POTENTIAL

HIGHLIGHTS IN Q3 2010

AGENDA

BERGEN GROUP SHIPBUILDING

CONTINUED GOOD MARGINS IN SHIPBUILDING

ORDER BACKLOG SHIPBUILDING PER 30.09.10

15 "STATE OF THE ART" SHIP DELIVERED 2007-2010

OUTLOOK SHIPBUILDING

BERGEN GROUP OFFSHORE

OFFSHORE – STRONG GROWTH POTENTIAL

ORDER BACKLOG OFFSHORE PER 30.09.2010

BERGEN GROUP – STRATEGIC LOCATIONS

MARKET OUTLOOK OFFSHORE

BERGEN GROUP MARITIME SERVICE

MARITIME SERVICE – A FOCUS AREA

BERGEN GROUP TECHNOLOGY

TECHNOLOGY FOCUSING CONCEPT DEVELOPMENT

QUARTERLY ORDER BACKLOG DEVELOPMENT

AGENDA

INCOME STATEMENT Q3 2010

CONDENSED CONSOLIDATED INTERIM INCOME STATEMENT (UNAUDITED)

EBITDA MARGIN - QUARTERLY DEVELOPMENT

BALANCE SHEET

ASSETS

EQUITY & LIABILITIES

EQUITY RATIO STRENGTHENED

NET INTEREST BEARING DEBT - REDUCTION

SHIPBUILDING - RESOURCES & FINANCIALS

OFFSHORE - RESOURCES & FINANCIALS

TECHNOLOGY – RESOURCES & FINANCIALS

MARITIME SERVICE – RESOURCES & FINANCIALS

AGENDA

Tror på økt oljepris

The Telegraph

US EIA: World Oil Prices to Rise Gradually in 2011 on Growth

ORDER INTAKE NORWEGIAN SHIPYARDS 2010

OUTLOOK – BERGEN GROUP

QUALITY THROUGH SERVICE AND INNOVATION

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