Press Releases 2008

February 19, 2008

Bilfinger Berger continues to focus on expansion in its services business

• Takeover of Norsk Hydro’s industrial services business: important step in the development of industrial services in Scandinavia
• Acquisition of iPower Solutions: further acquisition in Australian energy sector

Bilfinger Berger is further expanding its services business through important acquisitions in Scandinavia and Australia

In Norway, the company has acquired the repair and maintenance activities of Norsk Hydro Group and assumes a leading position in industrial services in Scandinavia. The business units, which Norsk Hydro began to spin-off in 2005, will generate an output volume in the current year of €250 million with 2,200 employees. The purchase price amounts to about €100 million. The acquisition is subject to approval from anti-trust authorities.

These activities fit in well with the core business of Bilfinger Berger Industrial Services, where maintenance services are carried out primarily on the basis of long-term framework contracts. The acquired units will continue to provide services for Norsk Hydro and to work primarily for external clients. Bilfinger Berger Industrial Services has been an established service partner to the process industry in Scandinavia for some time and is also involved in projects in the energy industry, such as the gas processing plant Ormen Lange and the gas liquification plant Melkoya Island in Hammerfest. Through the acquisition of the Norsk Hydro activities, Bilfinger Berger Industrial Services’ output volume in Scandinavia in the current year will increase to nearly €500 million.

Bilfinger Berger Industrial Services thus fortifies its position as a leading service partner to the European process industry. The company offers its clients in the chemical, petrochemical, energy and oil & gas industries comprehensive services in repair, maintenance and modernization of production plants.

Bilfinger Berger is also complementing its product range in the Australian services business: with the acquisition of iPower Solutions in Brisbane, the Group expands its activities with the additions of design, assembly and maintenance works for low and medium voltage switch gear. Through this acquisition, the existing business will be expanded into switch gear and substations for the energy sector and the raw materials industry. iPower generates an annual output volume of €60 million and employs over 400 people. Both parties have agreed to keep the purchase price confidential. Bilfinger Berger Services is already active in the installation and maintenance of supply networks for regional utilities on the fifth continent.

The development of Bilfinger Berger into a Multi Service Group and the corresponding expansion in the services business is also of significant strategic importance in Australia, the Company’s largest market outside of Germany. Just a few weeks ago, the Group acquired Clough Engineering & Maintenance, a company specialized in the operation and maintenance of facilities in coal-fired power plants. In the current financial year, Bilfinger Berger’s output volume generated through services to industrial clients and operators of electrical, gas and water networks in Australia will increase to nearly €400 million.

In the dynamically growing Services business segment, Bilfinger Berger increased its output volume in 2007 by 25% to €3.6 billion. A significant share of the Group’s net profit is generated by these activities. “We will continue to expand our services business, both organically and through targeted acquisitions”, emphasizes Herbert Bodner, Chairman of the Executive Board at Bilfinger Berger.