ΕΛΒΑΛ Α.Ε.

Presentation of ELVAL to the Association of Greek Institutional Investors

As part of the regular information provided by ELVAL to the Association of Greek Institutional Investors (A.G.I.I.), a presentation was held today, Wednesday, 6 May 2009, of the Group's annual financial results for fiscal year 2008, its development on the basis of current market conditions, its overall strategy and its prospects for the years to come.
The company's representative stated that, amidst this international recession, the Group's sales dropped by 5% and its consolidated turnover dropped by 7.9%, amounting to Euro 902 million, compared to Euro 979 million in 2007. The Group's exports still corresponded to 83% of its consolidated turnover. As far as profits are concerned, the Group's consolidated earnings before interest, taxes, depreciation and amortization amounted to euro 32.6 million in 2008, compared to euro 85.6 million in 2007, whereas the results before taxes were losses amounting to euro 29.2 million, compared to profits amounting to euro 30.9 million in 2007, and the net results after taxes and minority interest were losses amounting to euro 8.9 million in 2008, compared to profits amounting to euro 21.7 million (losses equal to euro 0.0713 per share, compared to profits equal to euro 0,1747 per share in 2007).
The reduction in consolidated results, as pointed out, is due to the one single impairment of inventories by Euro 20.3 million on account of the rapid drop in aluminium prices, to the high values of other cost factors, such as energy, to the increased financial expenses, and generally to the effect of the international adverse financial conditions.
During the presentation, reference was made to the structure of the ELVAL Group and its extensive production base in Greece, Bulgaria and Great Britain, and its strategy for ongoing upgrading of equipment through significant investment plans. More specifically, it was pointed out that the Group's investment expenses in 2008 amounted to Euro 74 million (Euro 9.5 million in particular was spent on actions and new investments for more effective environmental protection). Reference was also made to the Group's products and its extensive sales network in Greece and abroad.
It was also mentioned that, with the onset of the financial crisis, a goal was set to reduce bank loans, which amounted to Euro 291 million at the end of the year, compared to 333.9 million at the end of the 3rd quarter. This goal is still a priority in 2009.
In addition to the reduction of bank loans, which will be achieved by means of optimum working capital management, to react to the existing adverse financial conditions, the Group aims at reducing the manufacturing cost and focusing on economic sectors which have retained their momentum. At the same time, the Group is trying to reinforce its position globally by developing closer relations with FURUKAWA - SKY ALUMINIUM, which has acquired 25% of subsidiary BRIDGNORTH ALUMINIUM Ltd through an increase in the share capital of the latter.
Note: The presentation has been posted on the company's Website: www.elval.gr and on the Athens Stock Exchange Website: www.ase.gr.