Solvay S.A.
Brussels : SOLB

October 27, 2011 01:45 ET

Solvay Group - 3rd Quarter Business Review

BRUSSELS, BELGIUM--(Marketwire - Oct 27, 2011) -


SOLVAY GROUP

3(RD) QUARTER BUSINESS REVIEW(1)



Improved operating result in the 3rd quarter

REBITDA (EUR 264 million) improved by 13% compared to the 3rd quarter of 2010

* Favorable pricing power: higher sales prices overall compensated for the increase in energy costs

* Operating margin - REBITDA on sales - rose to 16%

* Overall level of activity sustained despite a gradual slowdown in demand for Vinyls and Special Chemicals

* Net result of EUR 73 million

* Closing of Rhodia acquisition in September(1), of which result will be consolidated as from October 2011

* Structured implementation program for the integration of Rhodia and the synergies led by the Integration Committee

* Interim dividend of 0.90 EUR net per share (1.20 EUR gross per share)

1. It was decided to integrate the financial data from the former Rhodia Group in the consolidated accounts of the Solvay Group using the following schedule: (a) Balance sheet: at the end of September 2011 (more information is provided in this regard on pages 22 to 23 of this press release) (b) Results and cash flows: starting October 1, 2011.

Outlook

The Solvay Group is attentive to the macro-economic deterioration and to the need for tight management of its operations. Despite the current softening in some of its markets, Solvay expects as foreseen to improve its operating result both in Chemicals and in Plastics in 2011. The previously announced outlook for Rhodia is confirmed (before the accounting impact of purchase price allocation).

Quote of the CEO

Solvay and Rhodia(1) realised good results in the 3rd quarter. Thanks to its balanced activity portfolio, its industrial excellence, its permanent focus on competitiveness and its continued conservative financial policy, the new Group is well positioned to leverage the opportunities that will arise.

1. Rhodia's 3rd quarter results not consolidated in Solvay's consolidated financial statements.

Please find enclosed the press release announcing the Solvay's third quarter results.

Press release and slides are available on www.solvay.com

Solvay Group - Third quarter 2011 results: http://hugin.info/133981/R/1558346/481400.pdf

This announcement is distributed by Thomson Reuters on behalf of Thomson Reuters clients. The owner of this announcement warrants that:

(i) the releases contained herein are protected by copyright and other applicable laws; and

(ii) they are solely responsible for the content, accuracy and originality of the information contained therein.

Source: Solvay S.A. via Thomson Reuters ONE

[HUG#1558346]

Contact Information

  • For additional information:
    Erik De Leye
    Corporate Press Officer - Solvay
    Tel: 32 2 509 72 30
    E-mail: Email Contact

    Lamia Narcisse
    Media Relations - Rhodia
    Tel: +33 (0)1 53 56 59 62
    E-mail: Email Contact

    Solvay Investor Relations
    Tel. 32-2-509.60.16
    E-mail: Email Contact

    Patrick Verelst
    Head of Investor Relations - Solvay
    Tel: 32 2 509 72 43
    E-mail: Email Contact

    Maria Alcon Hidalgo
    Head of Investor Relations - Rhodia
    Tel: 33 (0)1 53 56 64 89
    E-mail: Email Contact