With the newly developed, compact and modern frequency transformers as an important part of their range of products, the earlier division of Aker Kvaerner Elektro was established as a separate company from 1 January 2004. During the two years that have passed, the products from Aker Kvaerner Power and Automation Systems have been well received by clients both in the marine market and in the oil and gas market. During 2005 alone, the company has build up an order backlog worth over NOK 600 million, fairly evenly divided between the two market segments.

"AKPAS is a success story with respect to the Aker Kvaerner organisation's capabilities for industrial development. We have found that the best way to continue this remarkable development is to find a permanent home for this business, where this range of products and technologies will be part of the core business" says Mr Torleif Gram, Executive Vice President of Aker Kvaerner's Business Area for Maintenance, Modifications and Operations. He continues, "The sale of Aker Kvaerner Power and Automation Systems is a good example of how we can find good industrial win-win solutions."

There are several winners in the decided model. The clients will get an even more complete range of products. The employees will get a new, large owner who will continue the development of both the employees and the products. The local community of Stord gets another big, international corporation in their industrial flora in addition to Aker Kvaerner. Wärtsilä takes over a company with a substantial order reserve, a competent workforce and good products which fit into their product portfolio. Aker Kvaerner gets a fair compensation for developing the company.

 "As Aker Kvaerner Power and Automation Systems no longer fit into our core activity, I am very satisfied that it will be Wärtsilä, a corporation of high standing, which will continue the operation of the company. I am convinced that they will carry on the business because AKPAS fit very well into the portfolio of the Wärtsilä division for marine and offshore solutions," says Mr. Gram.

"A combination of Wärtsilä's global strength and determination to invest in our field, combined with juvenile vitality will give great opportunities in the years to come," says Mr. Arne Birkeland, President of Aker Kvaerner Power and Automation Systems. The representatives of the trade unions are jointly backing what is about to happen, and this contributes to the positive effect of the change of ownership.

"From our point of view Wärtsilä represents great possibilities for further development of what we have started. They have a great market network, advanced technology and have made it their business to have good products and systems to supply to our core markets: the oil and gas market - plus the marine market," concludes Mr. Birkeland.

ENDS

 

 

Media:
Torbjørn Andersen, SVP Group Communications, Aker Kvaerner. Tel: +47 67 51 30 36, Mob: +47 928 85 542

 

Investor relations:
Lasse Torkildsen, Vice President, Aker Kvaerner, Group Comms. Tel: +47 67 51 30 39

 

AKER KVÆRNER ASA, through its subsidiaries and affiliates ("Aker Kvaerner"), is a leading global provider of engineering and construction services, technology products and integrated solutions. The business within Aker Kvaerner comprises several industries, including Oil & Gas, Refining & Chemicals, Mining & Metals, Pharmaceuticals & Biotechnology, Power Generation and Pulp & Paper. The Aker Kvaerner group is organised into two principal business streams, namely Oil & Gas and E&C, each consisting of a number of separate legal entities. Aker Kvaerner is used as the common brand/trademark for most of these entities.

The parent company in the group is Aker Kværner ASA. Aker Kvaerner has aggregated annual revenues of approximately NOK 35.6 billion and employs approximately 22,000 people in more than 30 countries.

Aker Kvaerner is part of the Aker Group (www.akerasa.com), a leading multi-industry powerhouse with more than 40 000 employees and NOK 60 billion revenues. Aker owns 50.01 per cent of Aker Kvaerner, and the group is also a major European shipbuilder and a significant participant in the fisheries industry.

This press release may include forward-looking information or statements and is subject to our disclaimer, see our web-pages www.akerkvaerner.com

 

MMO Europe (Maintenance, Modifications and Operations) is responsible for the Aker Kvaerner's MMO competencies and capacities, serving the Norwegian and UK Continental Shelf, and supporting selected international initiatives. The core competencies are turn-key deliveries offshore modifications, long term on- and offshore modification and maintenance contracts, inspection, operation and operations support, offshore removal and de-construction and subsurface advisory. MMO Europe has approximately 6,000 employees, including 2,600 engineers.

 

Aker Kvaerner Elektro is a complete EPC supplier of electrical, instrument and telecommunications (EIT) to customers in the oil and gas processing industry onshore and offshore. The company possesses wide experience and expertise in its field and have a staff of 1,600 dedicated professionals committed to delivering optimum solutions. Aker Kvaerner Elektro is geographically co-located with our customers, and our goal is to create trust and long-term relations through being reliable, competitive, deliver quality and meet our customers' expectations.

Aker Kværner Power and Automation Systems AS (AKPAS) is a leading contractor of electrical and automation products and systems. The company is a reliable and an efficient supplier to the offshore, marine and onshore industry and is engaged in international projects.  AKPAS is known for serving the customer, focusing on systems and solutions. AKPAS has 135 employees, and the company's head office is at Stord, Norway with a technical development department in Trondheim.