Davie Yards Inc.

Davie Yards Inc.

January 14, 2010 10:59 ET

New Chairman and CEO Appointed at Davie Yards

LEVIS, QUEBEC--(Marketwire - Jan. 14, 2010) - Davie Yards Inc. ("Davie" or "the Corporation") (TSX:DAV) announces that Mr. Gustav Johan Nydal will be joining the Corporation as President and CEO. Mr. Nydal-who has extensive experience in the marine industry-is taking over for Mr. Steinar Kulen, who will become Chairman of the Board of Davie. Both appointments are effective as of February 15, 2010.

Over the last two years, Mr. Kulen has built up Davie's shipbuilding activities and has taken Davie through a financial and organizational restructuring. The Corporation has five ships under construction and around 1,800 employees at the yard. Davie's team has also been strengthened with experienced senior management as well as qualified shipbuilding specialists. Davie is now well positioned for new contracts.

"I feel that it is the right time for me to hand over management to the new team, and I am glad that Mr. Nydal is getting onboard with us," said newly appointed Chairman Kulen. "Davie needs a CEO working full time at the yard in Levis, Quebec, which is not possible to combine with my family's interest. I am honored to have been asked to lead the Board as the Corporation's Chairman, and I welcome the opportunity to continue working actively for Davie and concentrate on strategic issues," Mr. Kulen added.

Mr. Kulen and Mr. Nydal have long worked together in shipbuilding and will work closely to ensure a smooth transition in the Corporation's everyday operations.

Mr. Gustav Johan Nydal, a 49-year-old Norwegian citizen, will be moving to Quebec along with his family. The newly appointed President and CEO comes to Davie from the position of Director, International Hullbuilding at Kleven Maritime. He started his maritime career as head of a marine engineering firm. He also held several managerial positions in a silicon metal processing company before being appointed Managing Director for a Kleven Maritime shipyard building highly specialized tankers. Mr. Nydal transferred to Akers Yards when the shipyard was sold in 2006 and subsequently returned to Kleven. Mr. Nydal holds a Bachelor's in Mechanical Engineering from the South Dakota School of Mines and Technology, USA, and a Master's in Mechanical Engineering from the Norwegian Institute of Technology in Trondheim, Norway.

Sigurd Lange, the current Chairman, will continue on the Board as Vice Chairman.

About Davie Yards Inc.

Davie Yards Inc. owns and operates the Davie yard in Quebec. With over 185 years of operating experience and approximately 1800 employees, the shipyard is the largest in Canada and among the largest and most sophisticated in North America. The Corporation has a focus on building large and complex offshore service vessels and rigs, and other sophisticated vessels for commercial and governmental use. Its shares are traded on the Toronto Stock Exchange (TSX:DAV). News and information are available at www.davie.ca.

Forward-Looking Statements

This news release contains forward-looking information within the meaning of applicable Canadian securities legislation. These statements include those relating to statements that are not historical facts, and reflect the current intentions, plans, expectations and beliefs of Davie's management ("Management"). Such forward-looking statements reflect Management's current beliefs and are based on information currently available to Management. Forward-looking statements involve known and unknown risks, uncertainties and other factors outside Management's control. A number of factors could cause actual results of Davie to differ materially from the results predicted in the forward-looking statements, including, but not limited to, risks associated with the Corporation's fiscal results, conditions to the completion of the refinancing plan, working capital requirements, major disruptions of production, a downturn in economic conditions, competition and sensitivity to the oil and gas industry and other factors.

Although the forward-looking statements contained herein are based upon what Management believes to be reasonable assumptions, Management cannot assure investors that actual results will be consistent with these forward-looking statements. Certain assumptions underlying the forward-looking statements contained in this news release include Management's assumptions regarding market outlook for the construction of complex offshore vessels as well as the assumptions that new vessels will be delivered on schedule and that the Corporation will attract and retain key personnel in key positions. These forward-looking statements are made as of the date of this release, and Management assumes no obligation to update or revise them to reflect new events or circumstances, except as required pursuant to applicable securities laws. Readers are cautioned not to place undue reliance on these forward-looking statements. For additional information with respect to certain of these and other assumptions and risks, please refer to the Corporation's Management's Discussion and Analysis for quarter ended March 31, 2009 and the year ended December 31, 2008 as well as the Financial Statements for the quarter ended March 31, 2009 and the year ended December 31, 2008, and the Corporation's Annual Information Form dated March 29, 2009.

Contact Information

  • Davie Yards Inc.
    Marie-Christine St-Pierre
    Vice President Communications
    418-837-5841 Ext. 2163