3 in the division of transport against 4 the previous year 15

Three years after the launch of its rescue plan, Alstom returned to profits. The manufacturer of railway equipment and equipment and electricity services identified on the 2005-2006 fiscal year, closed on 31 March, a net result of 178 million euros, against a loss of 628 million a year earlier, with a turnover of EUR 13.4 billion, growth of 4 in actual data and 8 to perimeter and constant exchange rates. Excluding marine division, in dedication to the Norwegian Aker Yards, the operating margin was 5.6 of net sales, compared to 3.5 in 2004-2005, which the free cash flow of the group rose to EUR 525 million, against 77 million a year earlier.

All sectors contributed to this improvement: the operating margin was 6.3 in the division of transport, against 4 the previous year, 15.5 in services to energy, against 14.8 and 2, against a negative margin of 2.3 in the "power" division, in large part responsible for the industrial accident to Alstom by the poor performance of the turbine purchased the Group helvético-suédois ABB.

Two conditions precedent

Other witnesses to the relief, the order book grew by 9, to EUR 27 billion, and the debt has been reduced to 1.25 billion at March 31, against 1.84 billion a year before, and... 5 billion three years ago, pointing to a ratio of debt to 68 equity.

Based on these figures "all above objectives", according to the CEO, Patrick Kron, and RCVI yesterday on the stock exchange by 4.60 of the title at the meeting, Alstom is preparing the "consolidation" of its recovery. However, the value returned by early afternoon, correcting heavily on fears of inflation in the United States, and markets closed sharp decline of 4.68, to EUR 71,25. The assignments required by the European Commission in exchange for the green light to the 2003 rescue plan are almost completed with the sale "in the days or weeks" pole industrial boilers. The assignment of the marine division which was not required by Brussels should be effective May 31. The loss of 100 million euros related to this sale is already registered in the accounts 2005-2006. In the aftermath, i.e. current June, Bouygues will enter the capital of Alstom embodying the 21,03 of the capital currently held by the State.

This transaction, which will yield EUR 2 billion to the Ministry of economy, finance and industry, is indeed subject to two conditions precedent: the green light from the European authorities of competition it is expected in the coming days and the actual transfer of the division marine. In the meantime, Alstom and Bouygues teams are already working to achieve their commercial and operational agreement. "The General principles have been arrested" for the creation of a society joint detainee to parity in hydroelectric activity, announced Patrick Kron. Bouygues take 50 of the capital, with an investment of EUR 150 million.

In addition to this partnership with the MGB, communication and mobile group, Alstom is to priority on the fiscal year 2006-2007 a new strengthening of the profitability with the goal of an operational margin equal to 7 of net sales. He wants to also take margins of manoeuvre found to continue the debt, pay shareholders the payment of a dividend is expected in a year , strengthen the research and development and make acquisitions "targeted" in its two businesses. When questioned about his interest in certain assets of Areva, Patrick Kron was recalled the interest that it would be, according to him, to renew closer relations between the two groups in the construction of nuclear power plants, but it also aconstaté that the Government had closed the debate on the opening of the capital of the company.