BOURBON (EPA:GBB) BOURBON revenues up 3.1% compared with 3rd quarter 2008, at 246.8 M€

Transparency directive : regulatory news

09/11/2009 11:07

Paris, November 9, 2009

                  BOURBON Quarterly Financial Results

   Satisfactory growth (+ 16.6%) for Offshore Activity in the 3rd quarter
               reflecting the high vessel-utilization rate.
BOURBON revenues up 3.1% compared with 3rd quarter 2008, at 246.8 million euros.

"In an uncertain and deteriorated offshore market, BOURBON has stood out from
the field because of the new Bourbon Liberty vessels - clients really appreciate
them for their quality and positive impact on costs," says Jacques de
Chateauvieux, Chairman and Chief Executive Officer of BOURBON. "Our clients'
short-term approach to managing their capital expenditure has led to a temporary
increase in short-term contracts as the last few months have not been favorable
to more long-term commitments."

·  THIRD QUARTER 2009 REVENUES

                                        Third quarter

                                                 Change at  Change at
(in millions of euros)       Q3 2009   Q3 2008    current   constant
                                                  exchange  exchange
                                                   rates     rates

Offshore Division              207.6     178.0     16.6%      9.6%
  of which Marine Services     167.5     140.2     19.4%
  of which Subsea Services      40.1      37.7      6.3%
Bulk Division                   30.5      57.4    -47.0%    -49.3%
Other                            8.8       4.1    113.8%    110.2%
BOURBON TOTAL                  246.8     239.5      3.1%     -2.8%

           First 9 months

                  Change at  Change at
2009      2008     current   constant
                   exchange  exchange
                    rates     rates

615.3    463.0      32.9%     21.9%
505.7    368.9      37.1%
109.6     94.1      16.5%
91.0    190.8     -52.3%    -57.2%
22.7     19.4      17.2%     13.9%
729.0    673.2       8.3%     -0.7%

BOURBON's third-quarter revenues came to 246.8 million euros, up 3.1% compared
with the same period in 2008 (-2.8% at constant exchange rates), due to
satisfactory growth in the Offshore Division which offset a sharp decline in the
Bulk Division.

In the first 9 months of the year, BOURBON posted revenue growth of 8.3%, the
increase being stronger in the early months of the year, while revenues were
virtually stable at constant exchange rates. The value of the dollar
strengthened by 11% during the period, at 1.37 dollar/euro compared with 1.52
for the same period in 2008.

·  OFFSHORE DIVISION

The Offshore Division recorded satisfactory third-quarter growth of 16.6% (9.6%
at constant exchange rates), with revenues totaling 207.6 million euros versus
178 million euros for the same period in 2008.

The activity of BOURBON's directly-owned fleet continued to expand
significantly, up 25.7% for the period, while the chartered vessel business saw
a decline (-39.1%), in line with the Division's commercial strategy.

This strong growth, achieved in a market that was made more difficult because of
stagnation of demand and numerous deliveries during the period, was due to:

     - the full effect of vessels that came into service at the end of 2008 and
       deliveries made since the beginning of 2009;

     - the impact of the dollar which continues to be favorable.

The quarter illustrates:

     - good activity for our innovative vessels whose high productivity reduces
       client costs (90% utilization rate for supply vessels);

     - contract coverage adapted to prevailing price levels, also reflected in a
       reduction of longterm contract coverage rates for supply vessels, at 70%
       at the end of September compared to 75% at the end of June 2009.

Over the first 9 months, revenues for the Offshore Division came to
615.3 million euros, up 32.9% (21.9% at constant exchange rates).

(in millions of euros)  Q3 2009  Q3 2008  Change  9 months  9 months   Change
                                            %       2009      2008       %

Marine Services           167.5    140.2   19.4%     505.7     368.9   37.1%
Subsea Services            40.1     37.7    6.3%     109.6      94.1   16.5%

TOTAL                     207.6    178.0   16.6%     615.3     463.0   32.9%

Of which:
       BOURBON vessels    192.5    153.2   25.7%     556.3     396.1   40.5%
     Chartered vessels     15.1     24.8  -39.1%      58.9      66.9  -11.9%

Marine Services

In the third quarter, the Marine Services activity posted growth of 19.4%
compared with the same quarter in 2008, as a result of new vessels delivered,
generating revenues of 167.5 million euros.

However, market conditions no longer allow the transit cost of the vessels from
their production site (China) to their first contract to be passed on to the
client. This is having some influence on the financial impact of commissioning
these new vessels.

In the first 9 months, revenues grew by 37.1%.

With 15 Liberty PSV and 13 Liberty AHTS currently in operation, their success
among clients in various regions around the world gives us confidence in the
utilization rates of the vessels that will be delivered in the future.

Subsea Services

In the third quarter, growth was limited to 6.3% compared with the third quarter
of 2008, since only one new IMR vessel was delivered in 2009.

This activity serves, in Africa particularly, the construction of fields under
development and maintenance in deepwater offshore, sectors in which clients have
postponed some of their capital expenditure.

In the first 9 months of the year, Subsea Services grew by 16.5%, representing
18% of total revenues for the Offshore Division.

Breakdown of the Offshore Division's revenues by geographical region

                                  3rd quarter                 9 months
(in millions of euros)     Q3 2009  Q3 2008  Change     2009    2008   Change
                                               %                         %

Offshore Division            207.6    178.0   16.6%    615.3   463.0    32.9%
                Africa       134.8    118.8   13.4%    405.9   313.7    29.4%
           Europe & Med./
           Middle East        37.1     33.8    9.6%    102.9    86.6    18.9%
                  Asia        21.6     13.1   65.3%     65.3    29.5   121.1%
    American continent        14.2     12.3   15.4%     41.1    33.1    24.1%

Growth remains strong in Africa where BOURBON makes 67% of its revenues,
particularly in Nigeria and the Congo.

In the Mediterranean (Egypt, Libya) and the Middle-East, the activity is seeing
strong development; by contrast, market conditions in the North Sea are
penalizing performance in Europe.

In Asia, the Group continues to expand, particularly in India and Malaysia.
Revenues achieved in this zone thus represented over 10% of Group sales compared
with less than 7% the previous year.

·  BULK DIVISION

In the third quarter of 2009, BOURBON's Bulk activity reflected both market
conditions and certain factors specific to BOURBON:

     - the market continued the growth that started at the beginning of the
       year, stabilizing at around $18,000/20,000 per day for the supramax;

     - BOURBON's caution in the quality of its counterparties for vessels under
       Time Charter continued to hamper the possibilities of medium-term
       contract coverage for its owned vessels;

     - this quarter, BOURBON successfully commissioned a 30,000-ton
       self-unloading cement carrier on long-term contract for Lafarge and two
       58,000-ton supramax. It has thus benefited from the arrival of six new
       directly owned vessels since December 31, 2008;

     - in view of the market's very high volatility, BOURBON continued its
       policy of low exposure to chartered vessels;

     - finally, some long-term contracts at favorable rates came to an end
       during the quarter.

In this context, revenues for the third quarter came to 30.5 million euros, down
47% compared with the same period in 2008, against the Baltic Supramax Index
(BSI) decline of 57%.

Over the first 9 months of the year, the Bulk Division recorded a decline in
revenues of 52.3% against the same period in 2008, while the BSI was down 70%.

·  OUTLOOK

Offshore Division

The last quarter of the year and the start of 2010 will be marked by reductions
in oil companies' expenditure as they try to shore up their 2009 results in the
face of uncertainty about the future of the oil price.

Since the oil price bottomed out on February 18, 2009 with the price per barrel
at $39, the price has been steadily recovering and now stands at over $70 per
barrel.

At the same time, projects that had been put on hold are now being relaunched in
a new context marked by less uncertainty about the impact of the ongoing
economic recovery in emerging markets and by evidence of a faster decline in
production from existing fields.

If this trend is confirmed, it will create the necessary conditions for recovery
in the offshore petroleum activity, after a low point which could occur during
2010 given the time needed between the relaunch of capital expenditure and its
impact on the demand for service vessels.

This increase in activity will help offset the effects of overcapacity forecast
on large vessels and Asia markets.

In this context, bolstered by its modern and high-productivity fleet, which
helps clients keep their costs down, and the Bourbon Liberty series of 76
vessels, which offers the continental offshore market a substitution vessel with
the same qualities as the vessels operating in deepwater offshore, BOURBON will
be particularly well placed to benefit from this upturn in the offshore oil
business.

Bulk Division

The Bulk Division will take delivery of an additional 58,000-ton supramax in the
last quarter, bringing the directly-owned fleet to twelve vessels at the end of
the year. However, the Horizon 2012 plan has been set back by significant delays
in deliveries of the Panamax ordered in India, none of which will be delivered
this year.

While the industry expects the current market rates to be sustained in the short
term, the greatest uncertainty prevails as to what will happen to rates in 2010.
It should nevertheless be noted that the total anticipated capacity of the fleet
actually delivered in 2009 should amount to 45 million tons, against an initial
annual projection of 70 million tons, and that there has been a record
demolition of old vessels, with nearly 15 Mtdwt expected in 2009 compared with
only 5 Mtdwt in 2008.

·  FINANCIAL CALENDAR

- Fourth quarter and full-year 2009 revenue release       February 10, 2010

- Presentation of 2009 annual results                        March 17, 2010

·   APPENDICES

  ·  BOURBON QUARTERLY DATA

                                 2009                         2008
(in millions of euros)    Q3      Q2      Q1       Q4      Q3      Q2     Q1

Offshore Division      207.6   205.7   202.0    209.1   178.0   148.2   136.8

Marine Services        167.5   171.6   166.7    170.6   140.2   116.1   112.5
Subsea Services         40.1    34.1    35.3     38.5    37.7    32.1    24.2


Bulk Division           30.5    30.6    29.9     44.0    57.4    67.8    65.6

Other                    8.8     7.2     6.7      5.1     4.1     6.0     9.3

BOURBON TOTAL          246.8   243.5   238.7    258.2   239.5   222.0    211.7

·  KEY INDICATORS

                                                          Q3 2009      Q3 2008
Average USD exchange rate for the quarter (in EUR)             1.43      1.51
USD exchange rate at closing (in EUR)                          1.46      1.43
Average price of Brent for the quarter (in $/b)                 67        117
Average Baltic Supramax Index for the quarter (in $/day)    19,782     45,575

Average euro/dollar parity was $1.37 in the first nine months of 2009, compared
with $1.52 for the first nine months of 2008.

The BSI average was $15,785 in the first nine months of 2009, compared with
$52,090 for the first nine months of 2008.

The average price of Brent was $55 for the first nine months of 2009, compared
with $110 in the first half of 2008.

About BOURBON

BOURBON is present in over 28 countries with a staff of 6,300 skilled
professionals, a directly-owned fleet of 335 vessels and 141 vessels on order.
Under the Horizon 2012 plan, BOURBON intends to become the leader in modern
offshore oil and gas marine services by offering the most demanding clients
worldwide, a full line of innovative, high performance and new-generation
vessels and an expanded offer of Subsea Services.
BOURBON also specializes in bulk transport and protects the French coastline for
the French Navy.
Classified by ICB (Industry Classification Benchmark) in the "Oil Services"
sector, BOURBON is listed for trading on Euronext Paris, Compartment A, and is
included in the Deferred Settlement Service SRD and in the SBF 120 and Dow Jones
Stoxx 600 indices.

Contacts
Publicis Consultants / Press Relations
Stéphanie Elbaz    +33 (0)1 57 32 85 stephanie.elbaz@consultants.publicis.fr
Elodie Woillez     +33 (0)1 57 32 86  elodie.woillez@consultants.publicis.fr

BOURBON
Investors - Analysts - Shareholders Relations
Patrick Mangaud     +33 (0)1 40 13 86 09  patrick.mangaud@bourbon-online.com
Communications Department
Christa Roqueblave  +33 (0)1 40 13 86 06 christa.roqueblave@bourbon-online.com

                             www.bourbon-online.com

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BOURBON (EPA:GBB) BOURBON revenues up 3.1% compared with 3rd quarter 2008, at 246.8 M€

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