First Semester 2006 Results of the HERACLES G.C.Co. Group of Companies 14,8% increase in Group turnover for the first semester

The Heracles G.C.Co. Group of Companies announced today, sales of 329.5 million Euros for the first semester of 2006, increased by 14.8% in relation to the respective semester of 2005. Respectively, company's sales amounted to 294.4 million Euros for the first semester of 2006, increased by 14.8% as compared to the respective period of 2005. The increase in turnover is mainly resulting from the increase in domestic sales volumes as well as from the higher export prices in the international market. The dynamics shown by the domestic cement and ready-mix concrete market in the first semester of 2006 is attributed to the significant growth of the private building activity and to favorable weather conditions. The Group gross profit margin was 21,2% for the first semester of 2006 compared to 18,9% for the same period of 2005. Group earnings before taxes, interest and depreciation (EBITDA) of the first semester amounted to 63.9 million Euros compared to 51.0 million Euros in the corresponding period of 2005, increased by 25.5%. Earnings before taxes of the first semester for the Group amounted to 41.2 million Euros compared to 28.4 million Euros of the corresponding period of 2005, increased by 45.2%. Respectively, Group earnings after taxes amounted to 26.2 million Euros compared to 18.9 million Euros of the same period of 2005, increased by 38.2%. Group and Company earnings were positively affected by the increased participation of domestic sales in total sales and by increased exports prices, while they were partially offset by increased prices in fuel, electric power and raw materials. Investments on Group fixed assets amounted to 12.1 million Euros for the first semester 2006 compared to 8,5 million Euros for the corresponding semester of 2005, increased by 42.8%.

Company Profile
HERACLES Group of Companies, a member of Lafarge, is Greece's largest cement producer, with a production capacity of 9.6 million tons per year. It is also the largest cement exporter in Europe. Focused in Sustainable Development, it creates value for all its stakeholders contributing to the economy and to the local communities where it operates. With three cement plants - Volos plant (the largest in Europe), Halkis Plant, Milaki Plant - and seven terminals, the company has a production activity in 29 pref ectures around Greece. The Group is also active in the aggregates sector and in the production and trading of concrete. Lafarge is the world leader in building materials, with top-ranking positions in all four of its businesses: Cement, Aggregates & Concrete, Roofing & Gypsum. With 80,000 employees in 76 countries, Lafarge posted sales of ? 16 billion in 2005. To make advances in building materials, Lafarge places the customer at the heart of its concerns. It offers the construction industry and the general public innovative solutions bringing greater safety, comfort and quality to their everyday surroundings.


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