French government surprises Aker

Aker Yards has, through the media, been informed that the French government, after discussions with the company STX, intends to buy a total of 34% of the shares in Aker Yards France. Aker Yards France comprises two yards in Saint Nazaire and in Lorient.

STX is a shareholder in the publicly listed Aker Yards ASA, with 39.2% of the shares. “We are surprised to learn through the media that the French government has announced that they intend to buy a total of 34% of the shares in Aker Yards France based on a dialogue with STX. Aker Yards has significantly contributed to the positive development of financial results and in employment in Aker Yards France, and we appreciate that the yards are regarded as attractive. The Board of Directors has previously not considered to sell parts of our French activities. We see it as unlikely that Aker Yards will sell any part of our business if the terms are not attractive for all our owners and for the further development of the company. After learning about the French government’s intentions today, we expect to receive more detailed information”, says Svein Sivertsen, Chairman of the Board of Directors at Aker Yards ASA.

The company’s cruise and ferries division, which includes two French and three Finnish yards, posted a gross operating loss in 2007 but returned to the black in the first quarter this year. Finnish sources reported that STX may close Aker Yards’ Finnish yards which, like its French units, are focused on cruise ships unless it secured more orders. The high-end cruise ship business, one of the few niches of the global shipbuilding industry not dominated by Asian yards, has been plagued by delays and cost overruns at Aker Yards.

Finland’s government has also signalled that it may seek to become part owner of Aker’s Finnish shipyards to ensure shipbuilding remains in the country.