Umicore

Umicore’s performance in the second half of 2009 improved substantially from the low levels seen in the first part of the year. This was primarily due to increasing sales in the Precious Metals Products & Catalysts businesses coupled with the positive impacts of the cost reduction measures taken to date.

·       Revenues of € 1,723.2 million (€ 2,100.3 million in 2008);

·       Recurring EBIT of € 146.4 million* (€ 354.6 million in 2008);

·       EBITDA of € 259.4 million € 487.4 million in 2008);

·       Net recurring profit (Group share) of € 81.9 million (€ 222.1 million in 2008);

·       Adjusted basic EPS of € 0.73 per share (€ 1.93 per share in 2008);

·       ROCE of 8.2 %.

The company generated strong positive cash flows throughout 2009:

·       Operating cashflow of € 450.7 million (€ 370.3 million in 2008);

·       Net debt of € 161.1 million at the end of 2009 (€ 328.6 million at end 2008),
corresponding to a gearing ratio of 10.5 %.

The investment in longer-term growth initiatives has continued in 2009:

·       R&D expenditure, including capitalised costs, was € 135.7 million, representing 6.9 % of revenues;

·       Capital expenditures reached € 190.5 million.

Umicore’s safety performance improved significantly in 2009.

An unchanged gross dividend of € 0.65 per share will be proposed to shareholders at the Annual General Meeting on 27 April.

Outlook

Umicore anticipates that recurring EBIT in 2010 will show a marked improvement compared to 2009, mainly reflecting the full year impact of the cost reduction programmes initiated in 2009. In addition there is likely to be a gradual recovery in revenues in many of Umicore’s businesses. Supply conditions in the Precious Metals Services business should improve somewhat during the year, thereby partially offsetting the effects of lower received metal prices.

* Includes the € 8.9 million impact of the capitalization of development expenses in 2009.

Note: All comparisons are made with 2008, unless mentioned otherwise.