ViiV Healthcare receives FDA approval for Triumeq® (abacavir, dolutegravir and lamivudine), a new single-pill regimen for the treatment of HIV-1 infection

LONDON, Aug. 23, 2014 /PRNewswire/ — ViiV Healthcare announced today that the US Food and Drug Administration (FDA) has approved Triumeq® (abacavir 600mg, dolutegravir 50mg and lamivudine 300mg) tablets for the treatment of HIV-1 infection.1 Triumeq is ViiV Healthcare’s first dolutegravir-based fixed-dose combination, offering many people living with HIV the option of a single-pill regimen that combines the integrase strand transfer inhibitor (INSTI) dolutegravir, with the nucleoside reverse transcriptase inhibitors (NRTIs) abacavir and lamivudine.

Triumeq alone is not recommended for use in patients with current or past history of resistance to any components of Triumeq. Triumeq alone is not recommended in patients with resistance-associated integrase substitutions or clinically suspected INSTI resistance because the dose of dolutegravir in Triumeq is insufficient in these populations. Before initiating treatment with abacavir-containing products, screening for the presence of a genetic marker, the HLA-B*5701 allele, should be performed in any HIV-infected patient, irrespective of racial origin. Products containing abacavir should not be used in patients known to carry the HLA-B*5701 allele.1

Dr Dominique Limet, Chief Executive Officer, ViiV Healthcare, said: “Today’s approval of Triumeq offers many people living with HIV in the US the first single-pill regimen containing dolutegravir. ViiV Healthcare is committed to delivering advances in care and new treatment options to physicians and people living with HIV. We are proud to announce this important milestone, marking the second new treatment to be approved in the US from our pipeline of medicines.”

This FDA approval is based primarily upon data from two clinical trials:

  • the Phase III study (SINGLE) of treatment-naive adults, conducted with dolutegravir and abacavir/lamivudine as separate pills2,3
  • a bioequivalence study of the fixed-dose combination of abacavir, dolutegravir and lamivudine when taken as a single pill compared to the administration of dolutegravir and abacavir/lamivudine as separate pills.4

In the SINGLE study, a non-inferiority trial with a pre-specified superiority analysis, more patients were undetectable (HIV-1 RNA <50 copies/mL) in the dolutegravir and abacavir/lamivudine arm (the separate components of Triumeq) than in the Atripla®+ (efavirenz, emtricitabine and tenofovir) arm, the most commonly used single-pill regimen. The difference was statistically significant and met the pre-specified test for superiority. The difference was driven by a higher rate of discontinuation due to adverse events in the Atripla arm.2, 3

  • At 96 weeks, 80% of participants on the dolutegravir-based regimen were virologically suppressed compared to 72% of participants on Atripla. Grade 2-4 treatment emergent adverse reactions occurring in 2% or more participants taking the dolutegavir-based regimen were insomnia (3%), headache (2%) and fatigue (2%).3

About HIV

HIV stands for the Human Immunodeficiency Virus. Unlike some other viruses, the human body cannot get rid of HIV, so once someone has HIV they have it for life.5-7

HIV infects specific cells of the immune system, called CD4 cells or T-cells. Over time, HIV can destroy so many of these cells that the body cannot fight off infections and disease. When this happens, HIV infection leads to Acquired Immunodeficiency Syndrome (AIDS) which is the final stage of HIV infection. There is no cure for HIV, but with early diagnosis and effective treatment most people with HIV will not go on to develop AIDS.5-7

An estimated 1.1 million people in the US are living with HIV. However, only 33 per cent are taking the medication they need.8

About Triumeq

Triumeq is a fixed-dose combination containing the INSTI dolutegravir and the NRTIs abacavir and lamivudine.

Two essential steps in the HIV life cycle are replication — when the virus turns its RNA copy into DNA — and integration — the moment when viral DNA becomes part of the host cell’s DNA. These processes require two enzymes called reverse transcriptase and integrase. NRTIs and INSTIs interfere with the action of the two enzymes to prevent the virus from replicating and further infecting cells.

Dolutegravir was approved in the US in August 2013 and in Europe in January 2014 under the brand name Tivicay®. The Committee for Medicinal Products for Human Use (CHMP) of the European Medicines Agency (EMA) granted a positive opinion on the Marketing Authorisation Application (MAA) for Triumeq on 26 June 2014. Regulatory applications are also being evaluated in other markets worldwide, including Australia, Brazil and Canada.

Tivicay and Triumeq are registered trademarks of the ViiV Healthcare group of companies.

Important Safety Information (ISI) for Triumeq (abacavir, dolutegravir and lamivudine) tablets

The following ISI is based on the Highlights section of the Prescribing Information for Triumeq. Please consult the full Prescribing Information for all the labeled safety information for Triumeq.

BOXED WARNING: RISK OF HYPERSENSITIVITY REACTIONS, LACTIC ACIDOSIS AND SEVERE HEPATOMEGALY, AND EXACERBATIONS OF HEPATITIS B

See full Prescribing Information for complete boxed warning.

  • Serious and sometimes fatal hypersensitivity reactions have been associated with abacavir-containing products.
  • Hypersensitivity to abacavir is a multi-organ clinical syndrome.
  • Patients who carry the HLA‑B*5701 allele are at high risk for experiencing a hypersensitivity reaction to abacavir.
  • Discontinue Triumeq as soon as a hypersensitivity reaction is suspected. Regardless of HLA-B*5701 status, permanently discontinue Triumeq if hypersensitivity cannot be ruled out, even when other diagnoses are possible.
  • Following a hypersensitivity reaction to abacavir, NEVER restart Triumeq or any other abacavir‑containing product.
  • Lactic acidosis and severe hepatomegaly with steatosis, including fatal cases, have been reported with the use of nucleoside analogues.
  • Severe acute exacerbations of hepatitis B have been reported in patients who are co‑infected with Hepatitis B Virus (HBV) and Human Immunodeficiency Virus (HIV-1) and have discontinued lamivudine, a component of Triumeq. Monitor hepatic function closely in these patients and, if appropriate, initiate anti-hepatitis B treatment.

CONTRAINDICATIONS

  • Presence of HLA-B*5701 allele.
  • Previous hypersensitivity reaction to abacavir, dolutegravir or lamivudine.
  • Co-administration with dofetilide.
  • Moderate or severe hepatic impairment.

WARNINGS AND PRECAUTIONS

  • Patients with underlying hepatitis B or C may be at increased risk for worsening or development of transaminase elevations with use of Triumeq. Appropriate laboratory testing prior to initiating therapy and monitoring for hepatotoxicity during therapy with Triumeq is recommended in patients with underlying hepatic disease such as hepatitis B or C.
  • Hepatic decompensation, some fatal, has occurred in HIV-1/Hepatitis C Virus (HCV) co‑infected patients receiving combination antiretroviral therapy and interferon alfa with or without ribavirin. Discontinue Triumeq as medically appropriate and consider dose reduction or discontinuation of interferon alfa, ribavirin, or both.
  • Immune reconstitution syndrome and redistribution/accumulation of body fat have been reported in patients treated with combination antiretroviral therapy.
  • Administration of Triumeq is not recommended in patients receiving other products containing abacavir or lamivudine.

ADVERSE REACTIONS

The most commonly reported (greater than or equal to 2%) adverse reactions of at least moderate intensity in treatment-naive adult subjects receiving Triumeq were insomnia (3%), headache (2%), and fatigue (2%).

DRUG INTERACTIONS

Co-administration of Triumeq with other drugs can alter the concentration of other drugs and other drugs may alter the concentrations of Triumeq. The potential drug-drug interactions must be considered prior to and during therapy.

USE IN SPECIFIC POPULATIONS

  • Pregnancy: Triumeq should be used during pregnancy only if the potential benefit justifies the potential risk.
  • Nursing mothers: Breastfeeding is not recommended due to the potential for HIV transmission.
  • Triumeq is not recommended in patients with creatinine clearance less than 50 mL per min.
  • If a dose reduction of abacavir, a component of Triumeq, is required for patients with mild hepatic impairment, then the individual components should be used.

About ViiV Healthcare

ViiV Healthcare is a global specialist HIV company established in November 2009 by GlaxoSmithKline (LSE: GSK) and Pfizer (NYSE: PFE) dedicated to delivering advances in treatment and care for people living with HIV. Shionogi joined as a shareholder in October 2012. The company’s aim is to take a deeper and broader interest in HIV/AIDS than any company has done before and take a new approach to deliver effective and new HIV medicines, as well as support communities affected by HIV. For more information on the company, its management, portfolio, pipeline, and commitment, please visit www.viivhealthcare.com.

References:

  1. Triumeq US label
  2. Walmsley SL, Antela A, Clumeck N et al; for the SINGLE Investigators. Dolutegravir plus abacavir–lamivudine for the treatment of HIV-1 infection. N Engl J Med. 2013;369(19):1807-1818.
  3. Walmsley S, Berenguer J, Khuong-Josses M, et al. Dolutegravir regimen statistically superior to efavirenz/tenofovir/emtricitabine: 96-week results from the SINGLE study (ING114467). Poster presented at: 21st Conference on Retroviruses and Opportunistic Infections; March 3-6, 2014; Boston, MA. Poster 543.
  4. Weller S, Chen S, Borland J et al. Bioequivalence of a Dolutegravir, Abacavir and Lamivudine Fixed-Dose Combination Tablet and the Effect of Food. JAIDS. 2014 May doi: 10.1097/QAI.0000000000000193.http://journals.lww.com/jaids/Abstract/publishahead/Bioequivalence_of_a_Dolutegravir,_Abacavir_and.97920.aspx.
  5. Centers for Disease Control and Prevention. HIV Basics. http://www.cdc.gov/hiv/basics/index.html. Accessed July 28, 2014.
  6. NHS Choices, HIV & AIDS Overview. http://www.nhs.uk/conditions/HIV/Pages/Introduction.aspx. Accessed July 28, 2014.
  7. Centers for Disease Control and Prevention. CDC Fact Sheet. HIV in the United States: The Stages of Care. http://www.cdc.gov/hiv/pdf/research_mmp_StagesofCare.pdf. Accessed July 28, 2014.
  8. Centers for Disease Control and Prevention. Today’s HIV/AIDS Epidemic. http://www.cdc.gov/nchhstp/newsroom/docs/HIVFactSheets/TodaysEpidemic-508.pdf. Accessed July 28, 2014.

+Atripla is a registered trademark of Bristol-Meyers Squibb and Gilead Sciences, LLC.

ViiV UK/US Media enquiries:

Sebastien Desprez

Marc Meachem

+44 7920 567 707

+1 919 483 8756

GSK Global Media enquiries:

David Daley

Melinda Stubbee

+44 20 8047 5502

+1 919 483 2510

GSK Analyst/Investor enquiries:

Ziba Shamsi

Kirsty Collins (SRI & CG)

Tom Curry

Gary Davies

James Dodwell

Jeff McLaughlin

Lucy Singah

+44 20 8047 5543

+44 20 8047 5534

+1 215 751 5419

+44 20 8047 5503

+44 20 8047 2406

+1 215 751 7002

+44 20 8047 2248

GlaxoSmithKline cautionary statement regarding forward-looking statements: GSK cautions investors that any forward-looking statements or projections made by GSK, including those made in this announcement, are subject to risks and uncertainties that may cause actual results to differ materially from those projected. Factors that may affect GSK’s operations are described under Item 3.D “Risk factors” in the company’s Annual Report on Form 20-F for 2013.

Frost & Sullivan to Partner Companies in their Transformation into Lean Global Corporates with International Supply Chain Excellence Programme, Indonesia Edition 2014

— A Global Best-in-Class Practices Assessment, Benchmarking, Development and Recognition Platform

 

JAKARTA, Indonesia, Aug. 23, 2014 /PRNewswire/ — With the ASEAN Economic Community (AEC) becoming a reality in 2015, economic scenarios and business dimensions are expected to change. Materials, skilled work force, services, capital, etc. will all freely move across the region without boundary constraints. This will provide more opportunities to companies and individuals, which is good news for ASEAN. At the same time, it will also require companies to be competitive at the ASEAN instead of country level. Existing manufacturing hubs like Indonesia, Thailand, and Malaysia will try to sustain their current manufacturing advantages and other countries like Myanmar, the Philippines, and Vietnam amongst others will try to maximise the new economic environment and become new sourcing hubs in the ASEAN community.

With new opportunities and challenges knocking at the doors of corporates in Indonesia and other ASEAN nations, excelling in manufacturing and supply chain practices could very well decide on future corporate struggles. To address this rising necessity, Frost & Sullivan brings forth the International Supply Chain Excellence Programme (ISCEP), Indonesia Edition 2014. In tandem with Frost & Sullivan’s programmes currently running in India, the Gulf Co-Operation Council (GCC), Thailand and Turkey, the Indonesia Edition aims to assist companies in adopting supply chain excellence practices across industries through assessments, feedback, and benchmarking.

As part of this programme, while the top performing companies would be recognised, all assessed companies would be handed over a scorecard and an evaluation feedback would be shared. The sectorial benchmarking against global peers will be included in the feedback with more focus into the operational plans / projects of the participants. This, when integrated into the business plans in the subsequent years, would deliver maximum leverage and a clear value benefit to the participating company.

Speaking about the importance of sustaining and building further on the Manufacturing capability in the region, Eugene Van De Weerd, Country Director, Frost & Sullivan, Indonesia, said, “Manufacturing is one crucial sector that can generate huge employment opportunities in any country. Indonesia has been a favoured outsourcing hub from ASEAN and the manufacturing investments in the country continues to grow year on year. To ensure that Indonesia continues to sustain this kind of growth and outperform other regions companies will have to adopt an innovative approach to achieve excellence and sustain its competitiveness. Through the ISCEP initiative, Frost & Sullivan aims to assist companies in addressing the above challenges and build sustainable and reliable supply chain processes which will eventually impact the bottom-line of a company’s performance.”

According to Aroop Zutshi, Global President and Managing Partner, Frost & Sullivan, “The International Supply Chain Excellence Programme (ISCEP) is a must for organisations that seek to enhance their competitiveness amongst peers, and thus achieve their long term growth objectives. This programme is an effective way of adopting functional and operational best practices from across Industries and Nations. The acknowledgement benefits that will accrue to local and international top performers, will serve not only as an internal motivational tool, but can also be leveraged for effective business promotion. I invite all forward-thinking corporates to apply for this one-of-its-kind programme.”

Frost & Sullivan’s International Supply Chain Excellence Programme (ISCEP) is based on a scientific assessment of adequacy and effectiveness of the systems implemented in an organisation. This will measure the maturity of systems, their effectiveness and the continuous improvements done towards making supply chain processes reliable and capable of delivering planned results. The strength of this Programme lies in its unique Site Assessment Methodology. Every facility is examined on predefined factors that capture effectiveness and efficiency of processes such as operations, quality, customer alignment, supply chain and logistics, human resources, research & development and business financials.

The participants of this process will have global benefits and an acknowledgement process that will catalyse their reach out to customers, collaborators and partners across the world. Further, companies can leverage this international platform, by opting to be recognised in any one of the other countries covered in this Programme or a country where Frost & Sullivan has its presence, besides its own home country. (Note: Subject to Executive Committee Approval).

ISCEP Indonesia Edition is supported by Indonesian French Chamber of Commerce and Industry (IFCCI) and Supply Chain Indonesia.

If you wish to know more about the International Supply Chain Excellence Programme, Indonesia Edition 2014 or would like to register, please contact, Shena Agusta, Corporate Communications, at ISCEP@frost.com or log on to www.frost.com/ISCEP-Indonesia

About Frost & Sullivan

Frost & Sullivan, the Growth Partnership Company, works in collaboration with clients to leverage visionary innovation that addresses the global challenges and related growth opportunities that will make or break today’s market participants. 

Our “Growth Partnership” supports clients by addressing these opportunities and incorporating two key elements driving visionary innovation: The Integrated Value Proposition and The Partnership Infrastructure.

  • The Integrated Value Proposition provides support to our clients throughout all phases of their journey to visionary innovation including research, analysis, strategy, vision, innovation, and implementation.  
  • The Partnership Infrastructure is entirely unique as it constructs the foundation upon which visionary innovation becomes possible.  This includes our 360-degree research, comprehensive industry coverage, career best practices as well as our global footprint of more than 40 offices.  

For more than 50 years, we have been developing growth strategies for the global 1000, emerging businesses, the public sector, and the investment community. Is your organisation prepared for the next profound wave of industry convergence, disruptive technologies, increasing competitive intensity, Mega Trends, breakthrough best practices, changing customer dynamics, and emerging economies?  

Contact Us:     Start the discussion
Join Us:            Join our community
Subscribe:       Newsletter on “the next big thing” 
Register:         Gain access to visionary innovation

For more information, contact:

Shena Agusta
Corporate Communications – Indonesia
P: +62.21.571.0838
F: +62 21.571.3246
E: shena.agusta@frost.com

QuantumClean® and ChemTrace® to exhibit at SEMICON Taiwan 2014

– Leading global provider of validated high-purity outsourced process tool parts cleaning, performance coatings, refurbishment, and analytical & engineering services, and leading reference microcontamination analytical laboratory to the semiconductor industry exhibit at SEMICON Taiwan 2014 tradeshow.

QUAKERTOWN, Pa., Aug. 23, 2014 /PRNewswire/ — QuantumClean® and ChemTrace® today announced that they will be exhibiting at the SEMICON Taiwan tradeshow, held at the Taiwan World Trade Center in Taipei, Taiwan from September 3rd through the 5th, 2014.

SEMICON Taiwan features the people, products and technologies advancing the future of microelectronics.  QuantumClean® and ChemTrace® will be exhibiting jointly, in Nangang Hall at booth number 1141.

QuantumClean® operates on the frontier of the sub‐20nm high-purity semiconductor parts cleaning market through leading-edge technologies, resources and expertise.  For example, earlier this year QuantumClean® announced that it was the first semiconductor industry outsourced process tool parts cleaner to join SEMATECH, as well as the first to earn certification in the EICC’s Conflict-Free Smelter Program for Tantalum.

ChemTrace® has developed new techniques for trace metals analysis of precursors and thin films for 20nm and beyond.  Stop by to find out how Solution Based Chemistry™ can help improve your manufacturing process.

QuantumClean’s and ChemTrace’s technical, commercial and management teams will be present at the booths throughout the show and welcome the opportunity to discuss solutions to your current and future parts cleaning/refurbishment challenges and analytical requirements.

About Quantum Global Technologies, LLC

QuantumClean® and ChemTrace® are divisions of Quantum Global Technologies LLC, which is headquartered in suburban Philadelphia, Pennsylvania, USA. 

QuantumClean® is the leading global provider of high-purity outsourced process tool parts cleaning and restoration (coating) services, tool part life extension and process tool part optimization solutions to the semiconductor wafer fabrication, OEM & OPM industries.  Founded in 2000, QuantumClean® operates technologically innovative Advanced Technology Cleaning Centers® built on the premise of providing customers process improvement through consistently cleaner parts® that exceed industry standards, dramatically reducing our customers’ total cost of ownership.  With nineteen Advanced Technology Cleaning Centers® located in nine countries, QuantumClean® provides unsurpassed cleaning capability and convenience worldwide. 

ChemTrace® is a recognized leading reference analytical testing laboratory primarily serving the semiconductor, solar and related industries by providing answers and solutions to its customers’ micro-contamination related issues.  Founded in 1993, ChemTrace® also provides independent analytical verification of process tool part cleaning effectiveness for many of QuantumClean’s leading-edge semiconductor fab, OEM and OPM customers which have critical cleaning requirements.

For more about QuantumClean® and ChemTrace®, visit their websites at www.quantumclean.com and www.chemtrace.com .

Media Contacts        

QuantumClean®: Clara Lummus, +1-215-892-9305, info@quantumclean.com       

ChemTrace®: Robin Puri, +1-503-251-0979, info@chemtrace.com

For more information about SEMICON Taiwan 2014, visit their website at http://www.semicontaiwan.org

Stallone and Schwarzenegger Light Up Star-Studded Venetian Macao Red Carpet at The Expendables 3 Special Screening

The Venetian Theatre hosts Asia’s only special screening of blockbuster film

MACAO, Aug. 23, 2014 /PRNewswire/ — The stars shone brightly Friday night at The Venetian Theatre, as international icons Sylvester Stallone and Arnold Schwarzenegger walked the red carpet at The Venetian®Macao for Asia’s only special screening of their latest film, The Expendables 3, marking their first-ever visit to Macao and the iconic integrated resort.

Sylvester Stallone and Arnold Schwarzenegger walk the red carpet at The Venetian Macao Friday for Asia's only special screening of their latest blockbuster film, The Expendables 3.

Sylvester Stallone and Arnold Schwarzenegger walk the red carpet at The Venetian Macao Friday for Asia’s only special screening of their latest blockbuster film, The Expendables 3.

With a throng of enthusiastic fans lining the red carpet clamouring for the stars’ attention, the special screening of The Expendables 3 was part of the series of activities celebrating The Venetian Macao’s 7th anniversary Aug. 28. Stallone and Schwarzenegger also participated in a handprinting ceremony while the captivated crowd looked on, laying down their handprints and signatures for Cotai Strip Resorts Macao’s Bridge of Stars Gallery.

Sylvester Stallone and Arnold Schwarzenegger take part in a hand printing ceremony at The Venetian Macao Friday for Asia's only special screening of their latest blockbuster film, The Expendables 3.

Sylvester Stallone and Arnold Schwarzenegger take part in a hand printing ceremony at The Venetian Macao Friday for Asia’s only special screening of their latest blockbuster film, The Expendables 3.

Joining the blockbuster film’s iconic lead actors at the red carpet event were Olympian, undefeated UFC bantamweight champion and The Expendables 3 cast member Ronda Rousey, who is in town for Saturday’s UFC Fight Night Macao at The Venetian Macao, and Hong Kong celebrities Jessica C., Joyce Lee, Loretta Chow, Phillip Ng, Timmy Hung and Janet Chau.

Sylvester Stallone, Sands China Ltd. President and CEO Edward Tracy, Arnold Schwarzenegger and Nu Image, Inc. and Millennium Films Chairman and CEO Avi Lerner walk the red carpet at The Venetian Macao Friday for Asia's only special screening of their latest blockbuster film, The Expendables 3.

Sylvester Stallone, Sands China Ltd. President and CEO Edward Tracy, Arnold Schwarzenegger and Nu Image, Inc. and Millennium Films Chairman and CEO Avi Lerner walk the red carpet at The Venetian Macao Friday for Asia’s only special screening of their latest blockbuster film, The Expendables 3.

“It was a great thrill for everyone involved to see these two legends of Hollywood come to Macao for this special screening, from the fans lining the red carpet to our guests in the theatre,” said Edward Tracy, President and Chief Executive Officer of Sands China Ltd. “We’re very pleased that this event provided us with an opportunity to deliver world-class entertainment while casting the spotlight on Macao as a global destination.”

Celebrity-attended events like Friday’s special screening of The Expendables 3 are part of Sands China’s multi-tiered entertainment strategy, which is aimed at raising Macao’s profile as a world centre of tourism and leisure, providing a diversity of entertainment choices for the millions of guests and visitors experiencing Cotai Strip Resorts Macao each year.

Spanning a multitude of event types and venues, whether commanding the attention of a sold-out Cotai Arena audience or enchanting a packed Venetian Theatre, superstars of music, film, television and sports that have visited the integrated resort city include the Rolling Stones, Rihanna, Beyoncé, Lady Gaga, , Alicia Keys, Justin Bieber, Eason Chan, Jay Chou, Ricky Martin, David Beckham, Manny Pacquiao, Tiger Woods, Yao Ming, Kobe Bryant, Roger Federer, Kevin Spacey Nicole Kidman, Nicolas Cage, Quentin Tarantino, Michelle Dockery, Jeremy Irons, Jackie Chan, Sam Worthington, Matthew Perry,  Zhang Ziyi, Chow Yun Fat, Nicholas Tse and so many more.

In The Expendables 3, the most star-powered film franchise in history raises the bar to unprecedented heights with a dream team of global superstars, explosive stunts and mind-boggling weaponry as the mercenary group comes face to face with ruthless arms dealer and Expendables co-founder Conrad Stonebanks whose mission is to wipe out the entire team.

Celebrations for The Venetian Macao’s 7th anniversary continue over the weekend, with the high-octane UFC Fight Night Macao at the Cotai Arena Saturday evening.

Sinopec Announces 2014 Interim Results

— Operating Profit Records Double Digit Growth in the First Half of 2014

— Marketing Business Restructuring and Shale Gas Development on Track

BEIJING, Aug. 22, 2014 /PRNewswire/ — China Petroleum & Chemical Corporation (“Sinopec” or “the Company”) (HKEX: 386; CH: 600028;NYSE: SNP) today announced its interim results for the six months ended 30 June 2014.

Financial Highlights:

  • In accordance with the International Financial Reporting Standards (IFRS), in the first half of 2014, the Company’s turnover, other operating revenues and other income was RMB1,356.17 billion, down 4.2% year-on-year. However, the Company still maintained double digit growth in operating profit of RMB52.27 billion, up 11.8% year-on-year. Profit attributable to equity shareholders of the Company was RMB32.54 billion, up 7.5% year-on-year. Basic earnings per share were RMB0.279.
  • In accordance with the PRC Accounting Standards for Business Enterprises (ASBE), in the first half of 2014, the Company’s operating profit was RMB44.83 billion, up 2.6% year-on-year. Net profit attributable to equity shareholders of the Company was RMB31.43 billion, up 6.8% year-on-year. Basic earnings per share were RMB0.269.
  • Net cash flows from operating activities was RMB582.14 billion, up 76.9% year-on-year.

  • The Board of Directors proposed an interim dividend of RMB0.09 per share.

Business Highlights:

In the first half of 2014, global economic growth slowed down while China’s economy maintained moderate growth. Despite slowing growth in demand for refined oil products and tumbling prices for chemical products, the Company achieved a double digit increase in operating profit, thanks to increased production and sales volume of high quality oil products which led to a year-on-year operating profit growth in its refining and marketing businesses.

  • The Company achieved further progress in domestic oil and gas exploration and development.  Sinopec maintained its fast-track momentum in the construction of shale gas capacity in Fuling in the Sichuan Basin. By the end of June, daily shale gas production hit 3.2 million cubic meters. As of the end of 2013, the Company had completed its acquisition of overseas upstream assets from China Petrochemical Corporation, which significantly increased Sinopec’s crude production on a year-on-year basis.
  • Benefitting from further optimized production structure and increased production of high value-added oil products production such as GB IV & GB V gasoline and diesel production, the refining margin rose 43.4% in the first half of 2014 on a year-on-year basis.
  • In the first half of 2014, Sinopec carried out the restructuring and reform of its marketing business as planned. The Company established Sinopec Marketing Company Ltd. and completed the auditing and evaluation of its assets, laying the foundation for marketing business reform. Sinopec established Sinopec Easy Joy Sales Co., Ltd. to take another big step in the development of its non-fuel business. Sinopec significantly increased sales of premium products and recorded 10% growth in non-fuel operating revenues through optimising marketing strategies, expanding retail scale and enhancing integrated service levels for its clients.
  • Sinopec proactively responded to the severe market conditions for the chemical industry. The Company adjusted the raw material and product structure, optimised the utilisation rate of its facilities, and shut down non-profitable units.

Fu Chengyu, Chairman of Sinopec said: “Focusing on improving the quality and efficiency of development in the first half of 2014, Sinopec has accelerated business restructuring, emphasizing market-oriented reform and the specialized development of various business lines. Sinopec is committed to building a people-oriented, world-class energy and chemical company as well as enhancing shareholders’ long term returns through business transformation and more effective management.”

Business Review

Exploration and Production

In the first half of 2014, Sinopec achieved further progress in oil and gas exploration and development by focusing on five key domestic areas. In exploration, the Company made further discoveries in west Sichuan, with a number of  discoveries in the west rim of the Zhungar Basin, the Qintong sag of Jiangsu Province and North Erdos. In development, Sinopec strengthened its efforts in progressive exploration and reservoir characterisation, implemented a number of projects to build oil and gas production capacity and actively carried out gas production capacity building projects in Yuanba, middle-shallow layer of west Sichuan and Daniudi. We sustained our rapid growth in conventional gas production.

In unconventional resource development, we maintained our fast track momentum in the construction of shale gas capacity in Fuling in the Sichuan Basin. By the end of June, average daily shale gas production hit 3.2 million cubic meters. As of the end of 2013, the Company had completed its acquisition of overseas upstream assets from China Petrochemical Corporation, which significantly increased its crude oil production. In the first half of 2014, our oil and gas production was 237.01 million barrels of oil equivalent, up 8.00% from the same period in 2013, of which crude oil was 177.88 million barrels, representing an increase of 7.52% from the same period last year, and natural gas output was 354.8 billion cubic meters, an increase of 9.46%.

Due to lower crude oil realisation and lower overseas sales volumes due to maintenance to our Angola project, operating revenue of the Exploration and Production segment was RMB113.8 billion, representing a decrease of 2.9% over the first half of 2013. The segment operated fairly smoothly in the first half of 2014, realising RMB28.3 billion of operating profit, down 8.7% on a year-on-year basis. This was mainly attributable to lower realized crude price caused by factors including exchange rate fluctuation.

Summary of Operations for the Exploration and Production Segment

Six-month period

ended 30 June

Change

2014

2013

%

Oil and gas production (mmboe)

237.01

219.46

8.00

Crude oil production (mmbbls)

177.88

165.44

7.52

       China

154.15

153.66

0.32

       Overseas

23.73

11.78

101.44

Natural gas production (bcf)

354.80

324.14

9.46

Refining

In the first half of 2014, we adjusted our refinery products mix in response to changes in domestic demand; optimised resource allocation and reduced procurement costs of crude oil; strengthened coordination of production and marketing to increase production and export of gasoline, jet fuel and other high-value-added products. We actively promoted quality upgrading in our oil products and significantly increased output of GB IV standard diesel. We took advantage of our centralised marketing for other oil products and increased sales of LPG, asphalt and petroleum wax. In the first half of 2014, we processed 116 million tonnes of crude oil, up 0.32% year-on-year, and increased oil product output by 2.68%, of which gasoline production was up by 9.63%, kerosene up by 19.74% and light yield up by 0.63 percentage points.

Operating revenue for the refining segment was RMB652 billion, up 1.2% year-on-year. Benefitting from further optimized production structure and increased production of high quality oil product, the segment achieved an operating profit of RMB9.8 billion in the first half of 2014, representing an increase of RMB9.5 billion over the same period of 2013, and the refining margin rose 43.4% on a year-on-year basis,

Summary of Operations for the Refining Segment   

Unit: million tonnes

Six-month period

ended 30 June

Change

2014

2013

(%)

Refinery throughput

115.81

115.44

0.32

Gasoline, diesel and kerosene production

71.62

69.75

2.68

       Gasoline

24.94

22.75

9.63

       Diesel

36.67

38.64

(5.10)

       Kerosene

10.01

8.36

19.74

Light chemical feedstock production

19.96

18.82

6.06

Light yield (%)

76.83

76.20

0.63

percentage points

Refining yield (%)

94.63

94.61

0.02

percentage points

Note: includes 100% production of joint ventures

Marketing and Distribution

In the first half of 2014, we carried out the restructuring and reform of our marketing business as planned. We established Sinopec Marketing Company Ltd. and completed the auditing and evaluation of its assets and laid the foundations for marketing business reform. We established Sinopec Easy Joy Sales Co., Ltd., as another big step towards the specialized development of our non-fuel business. In light of sufficient market supply and fierce competition, we focused on resource allocation and optimised our marketing strategies to concentrate on premium products. We focused on our customer base and the retail market, enhancing the comprehensive services at Sinopec retail stations and maximized the scale of our retail business. With the launch of our online store for refuelling cards and self-service apps and devices, we improved customer experience by providing a one-stop service. In the first half of 2014, the total sales volume of oil products grew by 0.2% to 88.26 million tonnes, of which domestic sales were 81.04 million tonnes, up 0.4% from the previous year. Retail volume increased by 1.9% to 56.55 million tonnes. Sales from our non-fuel business reached RMB7.19 billion, an increase of 10% from the same period in 2013.

Operating income of the segment was RMB726.9 billion, down 0.8% year-on-year, mainly due to the revenue drop in diesel and fuels oil. Operating profit was RMB18.8 billion, representing an increase of 11.5% over the same period of 2013.

Summary of Operations for Marketing and Distribution Segment

Unit: million tonnes

Six-month period

ended 30 June

Change

2014

2013

%

Total sales volume of oil products

88.26

88.05

0.2

Total domestic sales volume of oil products

81.04

80.75

0.4

       Retail

56.55

55.52

1.9

       Direct and wholesale

24.49

25.23

(2.9)

Annualised average throughput per station (tonne/station)

3,712

3,620

2.5

As of 30 June

2014

As of 31 December

2013

Change

from the end

of last year (%)

Total number of Sinopec-branded service stations

30,467

30,536

(0.23)

       Company-operated

30,454

30,523

(0.23)

Chemicals Business

In the first half of 2014, facing oversupply in the market, high and volatile feedstock costs and a continued decline in chemical prices, we adjusted our feedstock and product mix as well as the configuration of facilities in order to process more low-cost, light feedstock into high-value-added products. In addition, we strengthened our efforts in the research, development, production and marketing of new products, integrated production with marketing and research and optimised the utilisation rate of facilities while shutting down non-profitable units. Furthermore, we strengthened our supply-chain management to ensure stable production and sales. In the first half of 2014, ethylene production reached 5.084 million tonnes, up 5.0% from the same period in the previous year and chemical sales volume was 29.2 million tonnes, up 4.1% year-on-year.

In the first half of 2014, operating revenue of the chemicals segment was RMB213.4 billion, representing an increase of 0.9% from the same period in 2013. This was primarily due to a 6.4% year-on-year increase in the sales volume of chemical products thanks to proactive marketing activities. Fierce competition in the domestic market and decreased chemical product prices led to an operating loss of RMB4 billion for the reporting period.

Summary of Operations, Chemicals Segment                                                                 

Unit: thousand tonnes

Six-month period ended 30 June

Changes

2014

2013

(%)

Ethylene

5,084

4,841

5.0

Synthetic resin

6,965

6,730

3.5

Synthetic fiber monomer and polymer

4,105

4,539

(9.6)

Synthetic fiber

646

699

(7.6)

Synthetic rubber

483

457

5.7

Note: Includes 100% of production of joint ventures.

Capital Expenditures

The Company has focused on improving the investment quality and returns and has made progress in a number of key projects. Total capital expenditure in the first half of 2014 was RMB39.186 billion. The Exploration and Production Segment accounted for a capital expenditure of RMB20.743 billion. This was primarily for oil and gas production capacity building, including at the Shengli oil field, Tahe oil field, Yuanba and Daniudi gas fields, Fuling shale gas field, the South Yanchuan Coal-bed-methane project, the Shandong and Guangxi LNG projects as well as at natural gas pipeline projects and overseas upstream projects. The Refining Segment accounted for a capital expenditure of RMB6.592 billion, which primarily supported the completion of revamping projects at the Shijiazhuang, Yangzi, Tahe and Jiujiang refineries and for quality improvements in our oil products. The Chemicals Segment accounted for a capital expenditure of RMB4.67 billion. This was primarily used for the acquisition of equity interests in the Ningdong coal chemical project and an investment in ZhongAn coal-chemical project, as well as to support product mix adjustments and basic chemical projects including Qilu acrylonitrile and Maoming polypropylene projects. The Marketing and Distribution Segment accounted for a capital expenditure of RMB5.83 billion, which primarily supported the building and revamping of service stations and the construction of oil product pipelines and depots. We added 261 new service stations in the first half of 2014. Corporate and Others accounted for a capital expenditure of RMB1.351 billion, which primarily supported R&D facilities and IT projects.

Special Highlights

Fuling Shale Gas Project

Following the significant breakthrough in the Fuling shale gas exploration project and after trial development and appraisal, the Company has set an overall production capacity target of 10 billion cubic meters for the Fuling shale gas field, and a planned capacity of 5 billion cubic meters per year for the first phase. In accordance with the guidance of overall deployment and step-by-step development, the first project in the first phase, which is the North Block development, is scheduled for 2014. This project mainly consists of drilling 91 new wells and constructing shale gas gathering and transmission facilities. The new production capacity is expected to be 1.8 billion cubic meters for this year.

Restructuring of the Marketing Business

In the first half of 2014, the Company accelerated the restructuring of Sinopec Corp.’s marketing business. The establishment, property audit and assessment of Sinopec Marketing Company Ltd., have been completed as planned. The Capital Introduction will be subject to market conditions and will be administered with impartiality, fairness and openness. The process of Capital Introduction will be divided into two phases and will include multiple rounds of bidding and competitive negotiations. The main objectives of the Capital Introduction are to promote and optimize a modern enterprise system, improve its market-oriented operational system and management mechanism, facilitate business innovation and vitality, enhance the competitiveness and sustainability of the enterprise, promote the transformation of Sinopec Marketing from a refined oil products supplier into an integrated services provider and develop Sinopec Marketing into a comprehensive lifestyle services provider which is trusted by consumers and which satisfies the needs of the general public.

Health, Safety, Environment and Low-carbon Growth

We improved and strictly implemented our Safe Production Accountability System, implemented the Occupational Safety and Health Administration (OSHA) standard, and initiated safety inspections throughout the Company to identify potential risks and emergency response team building. As a result, we maintained safe production on the whole. The Company increased its efforts in environmental protection, energy conservation, emissions reduction, green and low-carbon growth, and initiated energy performance contracting as well as an energy management system. Our Clean Water and Blue Sky campaign is well underway and is working towards a plan of Double the Energy Efficiency. In the first half of 2014, our chemical oxygen demand (COD) in wastewater discharge fell by 3.84% year-on-year and SO2 emissions fell by 4.73% year-on-year.

Corporate Governance Improvement

During the reporting period, Sinopec Corp. has complied with the applicable securities laws and regulations in and outside mainland China and further improved its corporate governance. Throughout the restructuring of its Marketing and Distribution business, the Company has and continues to strictly following the principles of public, fair, impartial and transparent. The Company has also provided training to newly appointed members of senior management in order to support the performance of their duties. The independent non-executive directors strengthened their communication with management and the external auditors and actively participated in the on-site research and evaluation of the subsidiaries. Sinopec Corp. has actively strengthened its internal control system, which has been implemented effectively, it has organised several reverse roadshows and has achieved continued improvements in relation to the information disclosure and investor relations. The Company initiates and leads green and low carbon development, and launches Energy Conservation Campaign. Sinopec Corp. continuously acts as Chairman of UNGC China Network and proactively supports its 2014 Caring for Climate China Summit. As at the date of this report, the Company has established the Policy Concerning Diversity of Board Members aiming to help maintain rational board structure and revised the Insiders’ Registration Rules for the Company aiming to strengthen the management of Insiders.

Business Prospects

In the second half of the year, we expect the global economic recovery to slow while China will maintain steady economic growth. We expect international oil prices to fluctuate at a high level during the second half of 2014. Domestic demand for oil products, especially for gasoline, is expected to grow rapidly and demand for chemicals to grow slightly.

We will focus on efficiency and profitability based on market dynamics and on safety and reliable operations. To achieve full-year production and operation targets, we will undertake initiatives in the following key areas:

In exploration and production, we will promote efficient and effective exploration in frontier areas, secure acreage for commercial development, continuously advance overseas crude oil development, and step up capacity building in Yuanba, Daniudi, middle-shallow layer of west Sichuan and Fuling shale gas projects.

In refining, we will optimise procurement and allocation of crude oil to reduce costs. We will readjust our product mix and raise the output of high-value-added products. We will continue to upgrade the quality of oil products including our GB IV highway diesel and GB V gasoline, and will strengthen the marketing of LPG, asphalt and petroleum wax.

In marketing and distribution, we will push forward the reform and restructuring of our marketing business. We will optimise resources allocation, improve business efficiency, and take full advantage of our brand and existing network to expand retail volume. We will promote market-oriented development of non-fuel and other emerging businesses, and enhance the value-creation capability of our sales network.

In chemicals, we will take advantage of integration production, and further adjust our feedstock to reduce costs, modify our product mix and unit structure through better integration of production, marketing and research to produce more marketable products. We will also strengthen business operations and marketing optimisation to further enhance marketing ability.

Appendix

Principal financial data and indicators

FINANCIAL DATA AND INDICATORS PREPARED IN ACCORDANCE WITH ASBE

Principal accounting data

Changes

over the same

Six-month periods ended 30 June

period of the

2014

2013

preceding year

Items

RMB million

RMB million

(%)

Operating income

1,356,172

1,415,244

(4.2)

Net profit attributable to equity shareholders of the Company

31,430

29,417

6.8

Net profit attributable to equity shareholders of the Company
     
after deducting extraordinary gain/loss items

31,354

29,196

7.4

Net cash flows from operating activities

58,214

32,903

76.9

Changes

At 30 June

At 31 December

from the end

2014

2013

of last year

RMB million

RMB million

(%)

Total equity attributable to equity shareholders of the Company

587,604

570,346

3.0

Total assets

1,429,543

1,382,916

3.4

Principal financial indicators

Changes

over the same

Six-month periods ended 30 June

period of the

2014

2013

preceding year

Items

RMB

RMB

(%)

Basic earnings per share

0.269

0.254

5.9

Diluted earnings per share

0.268

0.239

12.1

Basic earnings per share after deducting extraordinary

 gain/loss items

0.269

0.252

6.7

Weighted average return on net assets (%)

 

 

5.37

 

5.49

(0.12)

percentage points

Weighted average return on net assets after deducting

 extraordinary gain/loss items (%)

5.36

 

5.45

(0.09)

percentage points

Net assets per share attributable to equity shareholders

 of the Company (fully diluted)

5.031

4.687

7.3

 

 

FINANCIAL DATA AND INDICATORS PREPARED IN ACCORDANCE WITH IFRS

Principal accounting data

Changes

Six-month periods ended 30 June

over the same

2014

2013

period of the

Items

RMB million

RMB million

preceding year (%)

Operating profit

52,268

46,741

11.8

Net profit attributable to owners of the Company

32,543

30,281

7.5

Net cash generated from operating activities

58,214

32,903

76.9

Changes

As of 30 June

As of 31 December

from the end

2014

2013

of last year

RMB million

RMB million

(%)

Equity attributable to owners of the Company

586,110

568,803

3.0

Total assets

1,429,543

1,382,916

3.4

Principal financial indicators

Changes

over the same

Six-month periods ended 30 June

period of the

2014

2013

preceding year

Items 

RMB

RMB

(%)

Basic earnings per share

0.279

0.262

6.5

Diluted earnings per share

0.277

0.246

12.6

Net assets per share

5.018

4.664

7.6

Return on capital employed (%) *

 

4.19

3.88

0.31

percentage points

Return on capital employed=operating profit × (1-income tax rate)/capital employed (not annualized data)

The following table sets forth the operating revenues, operating expenses and operating profit/(loss) by each segment before elimination of the inter-segment transactions for the periods indicated, and the changes between the first half of 2014 and the first half of 2013.

Unit: RMB millions

Six-month periods ended 30 June

Change

2014

2013

(%)

Exploration and Production Segment

Operating revenues

113,827

117,242

(2.9)

Operating expenses

85,564

86,293

(0.8)

Operating profit

28,263

30,949

(8.7)

 Refining Segment

Operating revenues

651,969

644,246

1.2

Operating expenses

642,214

644,033

(0.3)

Operating profit

9,755

213

4,479.8

Marketing and Distribution Segment

Operating revenues

726,927

732,752

(0.8)

Operating expenses

708,133

715,900

(1.1)

Operating profit

18,794

16,852

11.5

Chemicals Segment

Operating revenues

213,392

211,521

0.9

Operating expenses

217,360

211,930

2.6

Operating loss

(3,968)

(409)

Corporate and others

Operating revenues

645,690

681,911

(5.3)

Operating expenses

645,951

682,925

(5.4)

Operating loss

(261)

(1,014)

Elimination of inter-segment profits

(315)

150

About Sinopec:

Sinopec Corp. is one of the largest integrated energy and chemical companies in China. Its principal operations include the exploration and production, pipeline transportation and sale of petroleum and natural gas; the sale, storage and transportation of petroleum products, petrochemical products, coal chemical products, synthetic fibre, fertiliser and other chemical products; the import and export, including an import and export agency business, of petroleum, natural gas, petroleum products, petrochemical and chemical products, and other commodities and technologies; and research, development and application of technologies and information.

Sinopec sets ‘powering beautiful life’ as its corporate mission, puts ‘people, responsibility, integrity, precision, innovation and win-win’ as its corporate core values, pursues a strategy of resources, markets, integration, international operation, differentiation, and low-carbon, and strives to achieve its corporate vision of building a world leading energy and chemical company.

Disclaimer:

This press release includes “forward-looking statements”. All statements, other than statements of historical facts that address activities, events or developments that Sinopec Corp. expects or anticipates will or may occur in the future (including but not limited to projections, targets, reserve volume, other estimates and business plans) are forward-looking statements. Sinopec Corp.’s actual results or developments may differ materially from those indicated by these forward-looking statements as a result of various factors and uncertainties, including but not limited to the price fluctuation, possible changes in actual demand, foreign exchange rate, results of oil exploration, estimates of oil and gas reserves, market shares, competition, environmental risks, possible changes to laws, finance and regulations, conditions of the global economy and financial markets, political risks, possible delay of projects, government approval of projects, cost estimates and other factors beyond Sinopec Corp.’s control. In addition, Sinopec Corp. makes the forward-looking statements referred to herein as of today and undertakes no obligation to update these statements.

Investor Inquiries:

Beijing

Tel: (86 10) 5996 0028

Fax: (86 10) 5996 0386

Email: ir@sinopec.com

Media Inquiries:

 

Tel: (86 10) 5996 0028

Fax: (86 10) 5996 0386

Email: ir@sinopec.com

Hong Kong

Tel: (852) 2824 2638

Fax: (852) 2824 3669

Email: ir@sinopechk.com

Tel: (852) 3512 5000

Fax: (852) 2259 9008

Email: sinopec@brunswickgroup.com

Logo – http://photos.prnewswire.com/prnh/20140428/81089                           

 

 

SNC-Lavalin completes landmark acquisition of Kentz

– A key milestone in SNC-Lavalin’s ongoing transformation into a global Tier-1 engineering and construction company

MONTREAL, Aug. 22, 2014 /PRNewswire/ — SNC-Lavalin Group Inc. (TSX: SNC) is pleased to announce that it has completed its acquisition of Kentz Corporation Limited, a global company with 15,500 employees operating in 36 countries. Kentz provides industry-leading engineering, construction management and technical support services to clients in the oil and gas sector.

The acquisition of Kentz supports SNC-Lavalin’s ongoing transformation into a global Tier-1 engineering and construction (E&C) company. The transaction creates a group with approximately 45,000 employees, annual revenues of about C$10 billion and a backlog of roughly C$13 billion as per 2013 figures. The combined company will also have a strong position in the world’s most dynamic growth markets, including the Middle East, North America, Latin America and Asia-Pacific.

“SNC-Lavalin is thrilled to welcome the employees of Kentz, who are the heart and soul of the remarkable company we are acquiring today,” said Robert G. Card, President and CEO, SNC-Lavalin Group Inc. “We expect that our combined capabilities will give us one of the best broad-based service offerings in the E&C industry, while expanding our presence in key growth markets.”

Transformational growth in oil and gas
The acquisition of Kentz transforms SNC-Lavalin’s oil and gas capabilities, creating a group of approximately 20,000 high-caliber employees with industry leading expertise for large and complex projects in the upstream, liquefied natural gas (LNG), unconventional (shale gas and oil sands), pipelines, offshore jackets and steam-assisted gravity drainage (SAGD) sectors.

“We have now begun implementing our plan, which aims to ensure our teams are combined efficiently, respectfully and as rapidly as possible,” said Neil Bruce, President, Resources, Environment & Water, SNC-Lavalin Group Inc. “We will be bringing together the best capabilities of our two firms for the direct benefit of our clients. Our goal will be to build strong and lasting relationships with our customers through consistently delivering on our commitments and providing the best mix of value and services.”

Kentz will be incorporated into SNC-Lavalin while simultaneously integrating SNC-Lavalin’s current Oil & Gas business into Kentz’s operations. Christian Brown, Kentz’s Chief Executive Officer, now becomes President, Oil & Gas, SNC-Lavalin Group Inc. Mr. Brown will continue to be stationed in Houston, Texas, and will report directly to Neil Bruce.

“Joining SNC-Lavalin will provide us with the ability to execute larger scopes for major projects, and enhance our access to new geographies in both North America and Latin America,” said Christian Brown. “We look forward to bringing our clients complete end-to-end solutions for their projects by merging SNC-Lavalin’s strong front-end engineering and design capabilities with our industry-leading construction management, commissioning and operations capabilities.”

SNC-Lavalin paid £9.35 (C$17.13) per share for a total purchase price of approximately £1.2 billion (C$2.1 billion). Kentz shareholders voted in favour of SNC-Lavalin’s offer at a meeting convened by order of the Court and an Extraordinary General Shareholders Meeting, both held on August 11, 2014. The offer was structured as a Scheme of Arrangement and the Scheme Court Hearing was held on August 21, 2014. Following the sanction of the Court, the acquisition became effective in accordance with its terms on August 22, 2014.

Forward-looking statements
This press release contains statements that are or may be “forward-looking statements” or “forward-looking information” within the meaning of applicable securities laws. All statements other than statements of historical fact included in this press release may be forward-looking statements. Without limitation, any statements preceded or followed by or that include the words “targets”, “plans”, “believes”, “expects”, “aims”, “intends”, “will”, “should”, “could”, “would”, “may”, “anticipates”, “estimates”, “synergy”, “cost-saving”, “projects”, “goal” or “strategy” or, words or terms of similar substance or the negative thereof, are forward-looking statements. Forward-looking statements include statements relating to the following: (i) future capital expenditures, expenses, revenues, earnings, economic performance, indebtedness, financial condition, losses and future prospects; and (ii) business and management strategies and the expansion and growth of SNC-Lavalin or Kentz’s operations and potential synergies resulting from the transaction.

These forward-looking statements are not guarantees of future financial performance. Such forward-looking statements involve known and unknown risks and uncertainties that could significantly affect expected results and are based on certain key assumptions. Many factors could cause actual results to differ materially from those projected or implied in any forward-looking statements. Due to such uncertainties and risks, readers are cautioned not to place undue reliance on such forward-looking statements, which speak only as of the date hereof. All subsequent oral or written forward-looking statements attributable to SNC-Lavalin or any of its directors, officers or employees or any persons acting on their behalf are expressly qualified in their entirety by the cautionary statement above. SNC-Lavalin disclaims any obligation to update any forward-looking or other statements contained herein, except as required by applicable law.

About SNC-Lavalin
Founded in 1911, SNC-Lavalin is one of the leading engineering and construction groups in the world and a major player in the ownership of infrastructure. From offices in over 50 countries, SNC-Lavalin’s approximately 45,000 employees provide EPC and EPCM services to clients in a variety of industry sectors, including oil and gas, mining and metallurgy, environment and water, infrastructure and power. SNC-Lavalin can also combine these services with its financing and operations and maintenance capabilities to provide complete end-to-end project solutions.
www.snclavalin.com

For further information:

Media:
Lilly Nguyen
Public Relations Manager,
Global Corporate Communications
SNC-Lavalin Group Inc.
+1-514-393-8000, ext. 54772
lilly.nguyen@snclavalin.com