Results 2009 and outlook for 2010 Phu My Bridge, Vietnam © 2010 Holcim Ltd/Switzerland Presentation of March 3, 2010 Markus Akermann, CEO Theophil H. Schlatter, CFO The spoken word prevails. Challenging economic environment Decreasing demand for building materials in Europe and North America Growing or stable demand for building materials in most of the Emerging Markets No significant trend change visible in the fourth quarter of 2009 © 2010 Holcim Ltd/Switzerland 1 Results 2009 1) In economic terms, 2009 will be remembered as a year of crisis. The construction industry suffered a significant slump, particularly in Europe and North America. The situation was esp ecially difficult in the US, the UK and Spain, but the construction sector also underwent a severe recession in Eastern and Southeastern Europe, as well as Russia. Asia developed comparab ly well, as did much of Latin America and Africa. Led by India, many of the countries in question remained on a growth path. This proved beneficial for Holcim, as the Group has a strong em erging markets presence like no other international producer of building materials. In the fourth quar ter, the situation on the construction markets did not change fundamentally compared to the rest of the year. Positive market developments have still been counterbalanced by developments in the opposite direction. Holcim reacts swiftly and increases its efficiency Reduction of fixed costs reached CHF 857 million on a like-for-like basis Higher operating EBITDA margin in all segments in the second half of the year Cement capacity scaled back by more than 10 million t More than 100 aggregates and ready-mix concrete plants closed Strategic capacity expansion program continued Acquisition in Australia strengthens the Group 2 © 2010 Holcim Ltd/Switzerland Results 2009 2) The goal of streamlining processes and structures as well as lowering fixed costs by at lea st 600 million Swiss francs was significantly exceeded, reaching like-for-like 857 million Swiss francs. Particularly in Europe and North America, plants were shut down permanently or mothballed. All in all, 23 kiln lines with a production capacity of more than 10 million tonnes of cement were clo sed. In addition, more than 100 aggregates and ready-mix concrete plants were closed temporarily. These moves were accompanied by a substantial reduction of our workforce which was cond ucted as socially responsible as possible. A highly cautious approach was taken toward investment s in maintenance and efficiency programs. The capacity expansion program targeted at strategic ally important areas continued, apart from some exceptions. Plant expansions and new facilities were concentrated in growth markets, particularly on India. The new Ste. Genevieve cement plant i n the US was commissioned, as planned. Situated right on the Mississippi River and equipped with its own port facility, the plant – which has a capacity of four million tonnes – is the largest and m ost modern in the US. It improves energy efficiency by around 40 percent compared to the US sit es that Holcim closed. The plant boosts Holcim's market presence throughout the river system o f the Midwest, right down to the Gulf of Mexico. The acquisition of Cemex Australia – now Holcim Australia – is a significant achievement. The transaction also included the increase in the shareholding in Cement Australia from 50 to 75 percent. Both Group companies are fully 2 consolidated since October 2009. This means Holcim can now offer not only cement but also aggregates, ready-mix concrete and concrete elements in a strategically important market. Strong liquidity, lower net debt Beginning of 2009, high priority was given to securing liquidity Capital market transactions strengthened balance sheet and extended the average maturity of existing debt Higher cash flow from operating activities Unchanged dividend payout ratio; proposed cash dividend of CHF 1.50 per registered share Non-binding advisory vote on the compensation report Executive Committee to be enlarged 3 © 2010 Holcim Ltd/Switzerland Results 2009 3) Amid the somewhat unclear situation that prevailed at the start of 2009, a high priority was given to securing liquidity, as well as refinancing and extending the maturity of existing debt. A seri es of capital market transactions and a capital increase in July raised a combined 7.8 billion Swiss francs. This also enabled the Group to significantly increase the average maturity of its finan cial debts. Encouragingly, cash flow from operating activities showed an above-average increase. Despite ongoing capacity expansion and equity-financed acquisition, net financial debt was reduced by 1.2 billion Swiss francs, thus further strengthening liquidity and the balance sheet . This was only possible thanks to rigorous cost and cash management. The Board of Directors will propose to the Annual General Meeting that one-third of the net income attributable to shareholders of Holcim Ltd should be distributed to the company's shareholders. This will res ult in a cash dividend of Swiss francs 1.50 per registered share. The shareholders will also be con sulted on the Board of Directors' compensation report. The Board of Directors proposes to the Annu al General Meeting that Beat Hess, Legal Director and member of the Executive Committee of Royal Dutch Shell in Den Haag, be elected to replace H. Onno Ruding, who is stepping down from t he Board of Directors. As Holcim announced today, the Executive Committee will be enlarged. R oland Köhler, Corporate Functional Manager and responsible for Corporate Strategy & Risk Management, will take over responsibility for the central service and support functions as ne w member of the Executive Committee as from March 15, 2010. The bundling of these Group s taff activities fosters interdisciplinary teamwork, should optimally support the Group companies i n their activities along the value chain, and improve the allocation of resources. Difficult economic situation in Europe Decreasing construction activity in the eurozone, but solid order book in Switzerland Aggravated market conditions in Spain, the UK, Italy, Eastern Europe and Russia Volume decline in all segments Capacity adjustments and extensive cost-cutting programs eased the pressure on the income statement Lower operating EBITDA as a result of market conditions and currency factors 4 © 2010 Holcim Ltd/Switzerland Results 2009 4) In 2009, the recession has put pressure on the European construction industry. Additionall y, a prolonged period of cold weather, lasting well into spring, hampered construction activity. Ho wever, Holcim Switzerland benefited from solid order books. Many Group companies implemented measures to adapt production capacity to the market development. The Torredonjimeno cem ent plant in Spain was permanently closed. Holcim Hungary mothballed a kiln line at its Lábatlan site, 3 and the Pleven plant in Bulgaria will temporarily be operated only as grinding station. At the Shurovo cement plant in Russia, no grey cement is to be produced until the commissioning of the new production line. In Spain in particular, the network of ready-mix concrete plants was also streamlined including the closing of quarries. Consolidated sales volumes in Group region Eur ope declined in all segments, albeit less sharply in the second half of 2009. Operating EBITDA of Group region Europe decreased due to market conditions and currency factors. The systemat ic broad-based implementation of cost-cutting measures increasingly eased the pressure on the income statement during the course of the year. Holcim Switzerland was the only Group comp any to post an improved result. North America hit by the crisis Difficult situation on the US construction market persists; US government’s stimulus programs with no significant impact Situation in Canada slightly better Declining sales volumes in all segments Rigorous cost management and plant closures Market environment adversely impacted results of Holcim US Aggregate Industries US achieved better results Slightly higher operating margins 5 © 2010 Holcim Ltd/Switzerland Results 2009 5) Compared with its 2008 level, private residential construction activity in the US again fell by approximately one-third. Commercial construction showed an even worse development. The situation in Canada was slightly better. Holcim US saw a significant decline in deliveries, aggravated by a severe winter at the beginning of 2009, followed by unfavorable weather conditions in spring, and repeated floods. Holcim Canada experienced a slump in cement exp orts from its Mississauga plant. In Ontario, weak residential construction and project cancellations in the commercial and industrial sectors affected sales volumes. Aggregate Industries US experienced a sales decline in all segments. However, government road building programs supported sales of asphalt in the second half of 2009. Holcim US decommissioned two plants and in the first quarter of the year, two additional cement plants were mothballed. Aggregate Indus tries US and Holcim Canada also temporarily closed various aggregates operations and ready-mix concrete plants. The difficult market environment impacted on the results of Holcim US in particular. Aggregate Industries US achieved a remarkable improvement in its results, and Hol cim Canada raised its operating EBITDA in local currency. Thanks to rigorous cost-cutting measures, Holcim achieved a slightly higher operating margin in this Group region, despite the strong dec line in sales volumes. Resilient Latin America Government programs supported construction activity Declining construction activity in Mexico and Central America Only moderate sales declines on a like-for-like basis Results improved especially in Ecuador, Brazil and Argentina Organic growth in operating EBITDA 6 © 2010 Holcim Ltd/Switzerland Results 2009 6) Most Latin American economies fared relatively well in the crisis. Exceptions included Mexi co and some Central American countries. The strong interdependence with the US significantly 4 reduced domestic demand in these countries. Even though domestic cement sales fell at Hol cim Apasco in Mexico, they did so less sharply than the market average. Cement exports experie nced a more significant decline. With the exception of Holcim Costa Rica, also the other Group companies in Central America reported slightly lower sales volumes. Holcim Ecuador increas ed sales across its entire product range. At Holcim Colombia, cement deliveries fell. However, volumes of aggregates and ready-mix concrete increased. The Brazilian Group company concentrated on high-margin contracts. Volumes of ready-mix concrete matched the previous year’s level. Cemento Polpaico in Chile saw lower sales volumes across all product categorie s. Aside from market factors, the arrival of new competitors also negatively impacted on sales. Though cement sales fell short of the previous year’s level, Minetti in Argentina was able to generate strong growth in aggregates and ready-mix concrete. Excluding changes in the scope of consolidation due to the nationalization in Venezuela, sales declines were less pronounced. Like- for-like, operating EBITDA increased in Group region Latin America. This is due to the cost- cutting measures and especially the positive development of the Group companies in Ecuador, Brazi l and Argentina. Solid business activity in Africa Middle East Sales volumes remained on high levels Strong demand for construction materials in Morocco and the Lebanon Decrease in cement deliveries in the Indian Ocean region Higher operating EBITDA and organic growth 7 © 2010 Holcim Ltd/Switzerland Results 2009 7) In Morocco, private house construction remained the key driver of the whole construction s ector. The Lebanese construction industry also benefited from robust demand. Holcim Morocco ach ieved higher sales volumes in all segments. Holcim Lebanon sold almost all of its production volum e on the domestic market. Sales of ready-mix concrete also increased. In the Indian Ocean region, the political crisis in Madagascar and weak demand in La Réunion resulted in a fall of deliveries. The start of major construction projects in Mauritius partially countered this negative development . Operating EBITDA rose, and also the operating margin developed positively. Morocco und th e Lebanon were the main contributors to the organic growth. Growing demand in Asia Pacific Construction industry still on the up, especially in India Higher sales volumes in all segments Acquisition in Australia strengthens the Group Above-average increase of operating EBITDA Remarkable performance improvement in India, the Philippines and Indonesia 8 © 2010 Holcim Ltd/Switzerland Results 2009 8) Group region Asia Pacific was affected by the crisis, but only in certain countries. In India, uninterrupted consumption, a healthy financial sector and extensive government investment supported the construction industry. The two Indian Group companies ACC and Ambuja Cem ents enjoyed good capacity utilization and sold more cement. New production capacity of 4.2 milli on 5 Million CHF (ifnototherwise stated) 2007 2008 2009 +/- LFL CIS FX Total Sales volumes - Cement (mt) 149.6 143.4 131.9 -6.8% -1.2% -8.0% - Aggregates (mt) 187.9 167.7 143.4 -19.6% 5.1% -14.5% 3 - Ready-mix (mm ) 45.2 48.5 41.8 -17.5% 3.7% -13.8% Net sales 27,052 25,157 21,132 -10.0% 0.8% -6.8% -16.0% Operating EBITDA 6,930 5,333 4,630 -5.1% -0.7% -7.4% -13.2% Operating profit 5,024 3,360 2,781 -7.3% -2.1% -7.8% -17.2% Net income before minorities 4,545 2,226 1,958 -5.8% -1.0% -5.2% -12.0% Net income attr. to Holcim shareholders 3,865 1,782 1,471 -11.2% -1.7% -4.6% -17.5% Cash flow 5,323 3,703 3,888 12.0% 1.6% -8.6% 5.0% EPS CHF 3 9.21 6.27 4.93 -21.4% Dividend/share CHF 1 3.30 2.25 1.50 -33.3% tonnes went on stream in the second half of 2009 to keep pace with market growth as from 2 010. Holcim Bangladesh delivered substantially more cement, and Holcim Lanka positioned itself successfully as a supplier of building materials to important key projects. Holcim Vietnam rec orded significantly higher deliveries of cement and ready-mix concrete. Siam City Cement in Thailand matched the previous year’s cement delivery volumes in the domestic market and increased i ts exports. In the Philippines, sales volumes showed a particularly strong increase, and Holcim Indonesia recorded stable domestic shipments. The favorable investment climate in the regio n ensured rising cement exports. Cement Australia sold less cement due to the less dynamic market and partially due to the adverse climatic conditions mainly on the east coast. In New Zealand , deliveries of aggregates increased. Operating EBITDA remarkably increased. The first-time inclusion of the acquisitions in Australia had a positive impact. With few exceptions, Group companies have beaten their results for the previous year. 2 IncludesaspecialdividendofCHF150million,netrelatedtothesaleofastakeinHolcimSouthAfrica 3 CalculatedontheweightedaveragenumberofsharesoutstandingretrospectivelyrestatedinaccordancewithIAS33 4 Paidasastockdividend 5 ProposedbytheBoardofDirectors © 2010 Holcim Ltd/Switzerland 9 Results 2009 9) First let us review the key financial figures. Sales volumes of cement declined by 8 percent Key financial figures – Full year 2009 Includesacapitalgainonthesaleof astakeinHolcimSouthAfricaofCHF1,110millionandaspecialdividendofCHF150million,net compared to the previous year. Aggregates and ready-mix volumes declined by roughly 14 percent each. Net sales totaled 21.1 billion Swiss francs, 16 percent down from the previous year. Operating EBITDA shrank by 13 percent to 4.6 billion Swiss francs and operating profit stood at 2.8 billion Swiss francs. Despite the unprecedented economic crisis in mature markets, net inco me attributable to shareholders of Holcim Ltd amounted to 1.5 billion Swiss francs. However, to g et a clearer picture on the business, we have to exclude the impact of the strengthening Swiss fra nc which had a substantial negative effect on results of about 7 percent as well as the impact of the changes in the scope of consolidation. On a like-for-like basis, net sales shrank by 10 percent over the prior year. Compared to the considerable volume reduction, operating EBITDA and opera ting profit declined like-for-like under proportionally by only 5 percent respectively 7 percent. This reflects the tremendous achievement in fix cost reductions and the strong organic growth in most of the emerging markets. To better understand the different trends between the mature and emerging markets, we disclosed for the first time selected figures for the two worlds within th e segment reporting. The austerity measures together with a stringent working capital manage ment led to the improved cash flow of 3.9 billion Swiss francs which corresponds to a like for like increase of 12 percent. 6 Million CHF (ifnototherwise stated) Q4 +/- 2008 2009 LFL CIS FX Total Sales volumes - Cement (mt) 34.6 32.8 -5.2% 0.0% -5.2% - Aggregates (mt) 40.4 40.2 -16.6% 16.1% -0.5% 3 - Ready-mix (mm ) 11.5 11.4 -11.3% 10.4% -0.9% Net sales 5,817 5,358 -8.8% 5.7% -4.8% -7.9% Operating EBITDA 968 1,016 4.9% 5.6% -5.5% 5.0% Operating profit 273 444 64.5% 7.3% -9.2% 62.6% Net income before minorities 119 381 184.9% 19.3% 16.0% 220.2% Net income attr. to Holcim shareholders 43 271 437.2% 32.6% 60.4% 530.2% Cash flow 2,045 1,696 -16.5% 4.1% -4.7% -17.1% Effective as at – Egyptian Cement Co mpany January 23, 2008 – HolcimVenezuela December 31, 2008 – Panamá Cement an d Cementos Colón December 31, 2008 – United Cement Com pany of Nigeria April 1, 2009 + HolcimAustralia and Cement Australia October 1, 2009 +/– Various smaller com panies © 2010 Holcim Ltd/Switzerland 10 Results 2009 10) In the fourth quarter, the rate of reduction in sales volume reflected the ongoing market difficulties and the early winter in parts of the northern hemisphere. The US, Spain, Russia a nd parts of Eastern Europe continued to be a drag on overall volumes despite the fact, that most of these countries were already hit by the crises in the second half of 2008. However, the contin ued growth in Asia and parts of Latin America was partly compensating the declines in the matur e markets. This is evidence of the sound geographical diversification Holcim has achieved ove r the last decades. The fourth quarter delivered the full benefit from the substantial cost reduction efforts initiated in 2008 and continued in 2009. The result is operating EBITDA growth of 5 percent relative to the fourth quarter last year. Operating EBITDA includes proceeds from the sale of CO2 emission allowances in the amount of 29 million Swiss francs. In comparison, we had 34 milli on Swiss francs in proceeds in the fourth quarter of 2008. Adjusting also for the provisioning of t he plant closures and restructuring costs, the operating EBITDA reduction of only 3 percent testi fies that the still ongoing volume decline was mitigated to a large extent by the cost reductions. In Q4 2009, there were depreciation charges and write-offs associated with projects in Eastern Europe which were shelved. The total amount charged and reflected in operating profit was 80 millio n Swiss francs. A provision related to the German antitrust investigation set up in 2002 was rel eased in the amount of 85 million Swiss francs and booked below operating profit as other income. © 2010 Holcim Ltd/Switzerland 11 Results 2009 Key financial figures – Q4 2009 Major changes in the scope of consolidation 7 Cement – Sales volumes by region Million t Total Group 2007 149.6 34.3 33.7 26.9 2008 143.4 2009 131.9 16.4 14.4 10.7 64.9 65.6 67.3 26.6 27.2 22.8 14.5 9.7 8.8 ⊗ 2008/2009 LFL Change in structure Total © 2010 Holcim Ltd/Switzerland Europe -21.1% 0.9% -20.2% North America -25.7% 0.0% -25.7% Latin America -6.3% -9.9% -16.2% Africa Middle East -5.2% -4.1% -9.3% Asia Pacific 0.9% 1.7% 2.6% Total -6.8% -1.2% -8.0% 12 Results 2009 Aggregates – Sales volumes by region Million t Total Group 108.8 97.6 2007 187.9 78.4 2008 167.7 56.9 49.3 40.2 2009 143.4 5.7 2.7 2.6 4.0 4.7 10.4 12.5 13.4 © 2010 Holcim Ltd/Switzerland 11.8 ⊗ 2008/2009 LFL Change in Total structure Europe -22.6% 2.9% -19.7% North America -19.1% 0.6% -18.5% Latin America -5.2% -6.7% -11.9% Africa Middle East -3.7% 0.0% -3.7% Asia Pacific -10.6% 131.9% 121.3% Total -19.6% 5.1% -14.5% 13 Results 2009 Ready-mix concrete and asphalt – Sales volumes by region Million m 3 /t Total Ready-mix 19.8 21.0 17.0 2007 45.2 2008 48.5 7.3 8.0 7.3 6.8 5.5 5.4 6.8 6.6 5.6 2009 41.8 1.7 1.2 1.1 5.8 7.3 8.1 10.6 11.7 10.1 ⊗ 2008/2009 * LFL Change in Total Total Asphalt 2007 14.8 2008 13.5 2009 11.0 * Ready-mixconcreteonly © 2010 Holcim Ltd/Switzerland Exchange rates structure Europe -23.3% 4.3% -19.0% North America -24.7% 0.0% -24.7% Latin America -10.3% -3.4% -13.7% Africa Middle East -8.3% 0.0% -8.3% Asia Pacific -8.2% 19.2% 11.0% Total -17.5% 3.7% -13.8% 14 Results 2009 Statement of income 2008 2009 +/- 1 EUR 1.65 1.59 1.51 -5.0% 1 GBP 2.40 1.99 1.70 -14.6% 1 USD 1.20 1.08 1.09 0.9% 1 LATAM Basket (MXN, BRL, ARS, CLP) 1 1.11 1.00 0.86 -14.0% 1 Asian Basket (AUD, IDR, INR, THB, PHP) 1 1.15 1.00 0.92 -8.0% average exchange rates in CHF 2007 Statement of financial position +/- 1 EUR 1.66 1.49 1.49 0.0% 1 GBP 2.25 1.53 1.66 8.5% 1 USD 1.13 1.06 1.03 -2.8% 1 LATAM Basket (MXN, BRL, ARS, CLP) 1 1.33 1.00 1.09 9.0% 1 Asian Basket (AUD, IDR, INR, THB, PHP) 1 1.30 1.00 1.05 5.0% 1 Weightedbynetsalesfullyear2008 © 2010 Holcim Ltd/Switzerland 15 Results 2009 8 Exchange rates – Translation gains/losses 2008 2009 in CHF +/- in CHF +/- in CHF +/- Net sales 391 1.6% -2,749 -10.2% -1,710 -6.8% Operating EBITDA 74 1.3% -593 -8.6% -394 -7.4% Operating profit 47 1.1% -376 -7.5% -262 -7.8% Net income - shareholders of Holcim Ltd 16 0.8% -152 -3.9% -81 -4.6% Cash flow from operating activities 53 1.2% -369 -6.9% -322 -8.6% Total shareholders' equity -450 -2.4% -4,687 -21.4% 277 1.5% Net financial debt -342 -2.7% -1,877 -14.6% 102 0.7% 16 © 2010 Holcim Ltd/Switzerland Net sales Million CHF Results 2009 27,052 25,157 21,132 Like-for-Like (LFL) 1,933 8.1% 1,157 4.3% -2,510 -10.0% Change in structure 759 3.2% -303 -1.1% 195 0.8% Forex movements 391 1.6% -2,749 -10.2% -1,710 -6.8% Total change 3,083 12.9% -1,895 -7.0% -4,025 -16.0% 2007 2008 2009 17 © 2010 Holcim Ltd/Switzerland Results 2009 Net sales by region Million CHF 2007 10401 10043 2008 7320 2009 536 5 4527 3480 6292 6109 6418 1831 1354 1206 ⊗ 2008/2009 LFL Change in Currency Total structure 401 0 4170 3348 Europe -21.6% 1.5% -7.0% -27.1% North America -21.8% 0.1% -1.4% -23.1% © 2010 Holcim Ltd/Switzerland Latin America -1.7% -9.2% -8.8% -19.7% Africa Middle East -3.8% -3.5% -3.6% -10.9% Asia Pacific 6.4% 7.4% -8.7% 5.1% Total -10.0% 0.8% -6.8% -16.0% 18 Results 2009 exchange rates in CHF 31/12/07 31/12/08 Million CHF [...]... in structure Forex movements Total change 569 23 47 639 13. 0% 0.5% 1.1% 14.6% -977 -31 1 -37 6 -1,664 2007 1 1 2,781 -19.4% -6.2% -7.5% -33 .1% -245 -72 -262 -579 2008 -7 .3% -2.1% -7.8% -17.2% 2009 22 Marginonalike -for- likebasis Results 2009 © 2010 Holcim Ltd/ Switzerland Operating profit by region Million CHF 1 1296 5 2007 2008 2009 17 13 40 4 83 6 23 134 1 1021 577 130 1 30 3 100 966 1 879 ⊗ 2008 /2009 Europe... *Ifnototherwiseindicatedcalculationbasedonlocalcurrencies Domestic clinker and cement volumes +/- 2008 /2009 2.2% 3. 7% -10.8% -21.7% 5.8% -5.7% 1.6% 0.0% -4.4% 7.2% 1.5% -4.5% 29.2% -38 .2% - 13. 4% -15.5% -1.1% -12.8% -22.5% -21.8% -47.8% -18.2% -19.0% -46.0% -20.0% -33 .6% -17.0% -31 .2% 1 Locallynotpublishedyet 34 Results 2009 and outlook for 2010 Results 2009 and outlook for 2010 Results 2009 and outlook for 2010 ... -22.6% -21.4% -33 .0% 2.9% 2.7% 6.0% -19.7% -18.7% -27.0% 21.0 17.5 3. 5 17.0 14.7 2 .3 - 23. 3% -21.7% -31 .4% 4 .3% 5.7% -2.9% -19.0% -16.0% -34 .3% 10,0 43 7,662 2 ,38 1 7 ,32 0 5,911 1,409 -21.6% -18.4% -32 .3% 1.5% 2.1% -0.2% -7.0% -6.6% -8 .3% -27.1% -22.9% -40.8% 2,0 03 1,151 852 1, 232 826 406 -33 .3% - 23. 4% -46.7% 0.0% -0.2% 0.1% -5.2% -4.6% -5.7% -38 .5% -28.2% -52 .3% - of which mature markets - of which emerging... America 16.0% Europe 33 .6% Asia Pacific 29.5% Latin America Africa Middle East 15.4% 5.5% 19 © 2010 Holcim Ltd/ Switzerland Results 2009 Operating EBITDA Million CHF 25.6% Margin 1 6, 930 21.2% 22.4% 21.9% 5 ,33 3 4, 630 Like -for- Like (LFL) Change in structure Forex movements Total change Marginonalike -for- likebasis © 2010 Holcim Ltd/ Switzerland -7 03 -10.1% -30 1 -4 .3% -5 93 -8.6% -1,597 - 23. 0% 2007 1 660 10.8%... position and will be able to get back on track again to achieve its long-term growth targets © 2010 Holcim Ltd/ Switzerland Europe – mature and emerging market highlights Asia Pacific – mature and emerging ma 31 Results 2009 rket 32 © 2010 Holcim Ltd/ Switzerland Results 2009 15 Domestic clinker and cement volumes +/- 2008 /2009 Domestic cement prices +/- 2008 /2009 * Europe Belgium France 2.2% 3. 7% Germany... CalculationinUSD © 2010 Holcim Ltd/ Switzerland 35 Results 2009 1 *Ifnototherwiseindicatedcalculationbasedonlocalcurrencies 36 Locally notpublishedyet Results 2009 © 2010 Holcim Ltd/ Switzerland 16 Domestic aggregates prices +/- 2008 /2009 * Europe 1 Domestic aggregates volumes +/- 2008 /2009 6.8% 0.5% 7.8% North America Canada United States 5.7% -17.2% -38 .1% 4 .3% 4.9% 2 Germany Switzerland Italy Spain -16.2% - 23. 4%... quarter 2010 General meeting of shareholders Half-year results for 2010 Press and analyst conference for the third quarter 2010 Press and analyst conference for the annual results for 2010 39 Results 2009 17 Disclaimer Cautionary statement regarding forward-looking statements This presentation may contain certain forward-looking statements relating to the Group’s future business, development and economic... volumes (mm ) - of which mature markets - of which emerging markets Net sales - of which mature markets - of which emerging markets Operating EBITDA - of which mature markets - of which emerging markets 2009 FX Total +/LFL CIS 65.6 3. 1 62.5 67 .3 3.2 64.1 0.9% -12.9% 1.6% 1.7% 16.1% 1.0% FX 2.6% 3. 2% 2.6% Total 4.7 1.2 3. 5 10.4 7 .3 3.1 -10.6% 0.0% -14 .3% 131 .9% 508 .3% 2.9% 121 .3% 508 .3% -11.4% 7 .3 0.7 6.6... -3. 0% -3. 8% 1.4% 6.2% -10.0% 17.7% -0.7% -7.4% - 13. 2% 21 © 2010 Holcim Ltd/ Switzerland Results 2009 21) In Group region Europe, like -for- like operating EBITDA dropped by 33 percent driven by volume declines across Europe and a precipitous drop in both volumes and prices in Russia, Azerbaijan and Spain The exception was a reasonably strong market in Switzerland and the 10 southern part of Germany For. .. AsiaPacific Total 31 7 LFL Change in Currency Total structure -58.6% -1.4% -2.7% -62.7% 880.0% 0.0% -180.0% 700.0% 12.4% -11.7% -9.7% -9.0% 10.9% -2.6% -3. 7% 4.6% 32 .7% 5.8% -11.1% 27.4% -7 .3% -2.1% -7.8% -17.2% 23 © 2010 Holcim Ltd/ Switzerland Results 2009 11 Net income Million CHF Net income Net income - shareholders of Holcim Ltd 4,545 3, 865 +67.2 1,782 + 83. 7% - 53. 9% % 2 0 0 7 1 1 2008 2009 IncludesacapitalgainonthesaleofastakeinHolcimSouthAfricaofCHF1,110millionandaspecialdividendofCHF150million,net . Results 2009 and outlook for 2010 Phu My Bridge, Vietnam © 2010 Holcim Ltd/ Switzerland Presentation of March 3, 2010 Markus Akermann, CEO Theophil H. Schlatter, CFO The spoken. 2008 2009 1 Marginonalike -for- likebasis © 2010 Holcim Ltd/ Switzerland Operating profit by region 22 Results 2009 Million CHF 17 13 2007 6 23 5 40 577 1296 1 4 83 3 03 317 134 1 1021 2008 2009 130 1 100 1 966 879 ⊗ . -30 1 -4 .3% -39 -0.7% Forex movements 74 1 .3% -5 93 -8.6% -39 4 -7.4% Total change 844 13. 9% -1,597 - 23. 0% -7 03 - 13. 2% 2007 2008 2009 1 Marginonalike -for- likebasis © 2010 Holcim Ltd/ Switzerland 20 Results