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Akzo Nobel Confirms Continuation of Positive Business Trend in Last Quarter of 2007
31st February 2008
Amsterdam, the Netherlands, January 31, 2008 - Akzo Nobel N.V. (Akzo Nobel) has released a trading update following the completion of the acquisition of Imperial Chemical Industries (ICI) and ahead of announcing its full year results on March 6, 2008.
The growth momentum of the preceding quarters continued in the fourth quarter, as reflected in the ongoing improved operational performance. Consequently, full year revenues for Akzo Nobel (excluding the acquisition of ICI) are EUR 10,217 million, 2% ahead of 2006 with an autonomous growth (volume and price) of 5%.
Akzo Nobel CEO Hans Wijers said: "The first nine months of 2007 laid the foundations for what was a solid final quarter. Indeed, both Akzo Nobel and ICI produced good fourth quarter results, which contributed to strong full year revenues and reflected continuing growth trends."
Following the completion of the ICI acquisition on January 2, 2008, integration is now underway. "We have established good momentum with our integration plans and I am pleased with progress so far and with the spirit, enthusiasm and focus that the respective teams are demonstrating" continued Hans Wijers.
Revenues for the fourth quarter of 2007 totaled EUR 2,431 million, up 2% with autonomous growth of 6%.
Preliminary full year 2007 revenues for all ICI businesses were GBP 4,899 million, 1% ahead of 2006, reflecting autonomous growth of 5%. In the fourth quarter the business delivered continued strong underlying sales growth compared with the same period in 2006, with autonomous growth up 6% to GBP 1,236 million.
Fourth quarter 2007 revenues of Akzo Nobel's decorative coatings business were unchanged, but bottom line performance significantly improved due to a better product mix.
Results from ICI's decorative business increased substantially during the last quarter of 2007, particularly in North America compared with the fourth quarter in 2006.
Akzo Nobel's Pulp & Paper business also realized a strong last quarter of 2007. Increased revenues of 9% contributed to a robust improvement of the bottom line.
More information is available in the News section of Akzo Nobel's website at www.akzonobel.com
