Acergy Keeps Fiscal Year Guidance, Still Sees Revenue In Line With 2009

   DOW JONES NEWSWIRES 
 

Acergy said Thursday that guidance for fiscal year 2010 remains unchanged.

 
   MAIN FACTS: 

-Sees FY revenue from continuing operations in line with fiscal year 2009 and an adjusted Ebitda margin for continuing operations which is slightly ahead of the 2009 result.

-The effective rate of tax for the underlying business is anticipated to be in line with the 35% guidance previously provided.

-Cash balances at fiscal year end are expected to be approximately $490 million after capital expenditure of approximately $500M and paid dividends to shareholders of $42M.

-Depreciation and amortisation costs are anticipated to be approximately $120M.

-Acergy is expected to end the 2010 fiscal year with a backlog for continuing operations of approximately $3.5B, based on prevailing exchange rates, including approximately $1.7B for execution in 2011.

-Following shareholder approval at the Acergy and Subsea 7's respective Combination EGMs, completion is currently anticipated in January 2011, subject to customary closing conditions.

-In light of the timing of completion, the company will not be providing guidance for fiscal year 2011 at this time. The company intends to present its next update to the market on February 23, 2011 when it will present its results for 4Q and FY ended November 30, 2010.

-Jean Cahuzac, CEO, says "Acergy has delivered a strong operational and financial performance throughout the year, despite some challenging short-term market conditions, supporting our confidence in achieving our 2010 expectations."

-"We expect further large projects will come to market award within the coming months and we anticipate building quality backlog and executing strongly."

-"As previously commented, we foresee a high level of activity for 2011 but we could see some impact on our overall margins due to the delays in project awards over the last two years and the continuing competitive market prevailing in the North Sea."

-By Stockholm Bureau, Dow Jones Newswires; [phone]; [e-mail]