Lafarge: Press releases

"Living within infrastructure": A study by architect Marc Mimram, in partnership with Lafarge

Wed, 01 Oct 2008 10:02:41 GMT

On the sidelines of a conference on concrete organized by Columbia University in New York, Marc Mimram is today presenting a study on "living bridges", carried out in partnership with Lafarge. World leader in building materials and a major producer of concrete, the most consumed material in the world after water, Lafarge has for many years been committed to sustainable and responsible development. It is for this reason that the Group, whose materials are used at the heart of cities, wanted to take part in a study on city planning and act as a key player in sustainable construction, able to go beyond its products to propose new building solutions with a reduced environmental footprint and an extended social role.

Rethinking infrastructure

Shanghai, Sao Paulo, Dubai - in this increasingly dense urban universe, the issue of flows and the organization of mobility is prompting architects to rethink cities and the meaning of each element that shapes them. Infrastructure is most often perceived as a necessary evil, and yet it conditions urbanization and foreshadows urban planning.

Today Marc Mimram is therefore proposing to reconsider the role of bridges by suggesting that we "inhabit infrastructure", thinking of it as common property, a common place for socializing and sharing, at the heart of the city. By becoming a territory, infrastructure can bring together the communities on each bank. If it is given new meaning, a bridge will be accepted by these two communities, suggesting a soothed image of the metropolitan dimension. "We need to consider bridges in the same way as towers, in the form of inhabitable structures, the horizontality of which replaces the verticality," suggests Marc. "After the towering city discovered in Manhattan by Louis-Ferdinand Céline in Journey to the End of the Night depicted as being "upright, absolutely straight and scarily stiff", the idea sought is to lie the city down again, taking advantage of the crossing effect."

It is not a question of providing a single answer to this problem since a bridge is necessarily a project rooted in a local landscape and socio-economic reality. In La Courneuve, near Paris, France, for example, more than anywhere, the suburb is isolated from the center and separated from the local park by a motorway; a new urban link needs to be created with a "landscape bridge" drawing its inspiration from the two areas it links. In Shanghai, a "rooftop bridge" offers a new public area in a city entangled within its road infrastructure. In New York, the bridge becomes an inhabited structure, extending beyond its simple transit functions to take in other urban issues and go beyond the issues of space and density, while in Moscow, the inhabited bridge is part of the urban scene, actually above the river where the city began, like a new Ponte Vecchio.

The use of Concrete in Marc Mimram's project

Concrete is key to current debate on cities, urban planning and urbanization. It is available everywhere, and today is a high-tech product allowing architects to develop an infinite number of possibilities, a local, social product par excellence. Research work and technological advances in concrete led by Lafarge have allowed architects to eliminate technical constraints and give free rein to their creativity. Today, new types of concrete are a central part of Marc Mimram's project. Thanks to their higher resistance and superior finesse and esthetics, ultra-high performance concretes such as Ductal® allow Marc Mimram to create elegant concrete structures into which the landscape softly creeps.

Lafarge, the partner of innovative, sustainable architecture

For the last twenty years, Lafarge has endeavoured to push back the limits of concrete and take part in research into more sustainable construction methods by developing innovative products, solutions and building systems which contribute to reducing the impact of construction on mankind and the environment. To achieve this objective, the Group very early on set up the world's leading building materials research center.

Moreover, Lafarge has developed a long-term partnership with architects in order to improve its products and solutions, as well as their concrete applications, within the framework of joint experiments and innovative projects.

Marc Mimram's study on living bridges falls into this category. It follows the Hypergreen project, presented in 2006 at the MIPIM. Hypergreen is a concept of a mixed-use, environmentally responsible tower building, using the properties of new concretes to create a highly energy-efficient building. Hypergreen was developed for the world's mega-cities by architect Jacques Ferrier, in partnership with Lafarge.

Further information

About Marc Mimram

Marc Mimram has a Masters Degree in Mathematics, a Postgraduate Degree in Philosophy and is a graduate of the Paris Ecole des Ponts et Chaussées. He is an architect, responsible for many structures and architectural projects in France and abroad. He teaches at the University of Marne-la-Vallée, France and Princeton, USA.

About Lafarge

Lafarge is the world leader in building materials, with top-ranking positions in all of its businesses: Cement, Aggregates & Concrete and Gypsum. With 90,000 employees in 76 countries, Lafarge posted sales of Euros 17.6 billion and net income of Euros 1.9 billion in 2007.

Lafarge is the only company in the construction materials sector to be listed in the 2008 ‘100 Global Most Sustainable Corporations in the World'. Lafarge has been committed to sustainable development for many years, pursuing a strategy that combines industrial know-how with performance, value creation, respect for employees and local cultures, environmental protection and the conservation of natural resources and energy. 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.

To obtain photos of the different projects of "living bridges", please contact the Lafarge Media Relations department.

The conference with Columbia University
The press release
The video
The brochure
The Lafarge chanel on YouTube

Results as of June 30, 2008

Thu, 31 Jul 2008 13:11:11 GMT

Second quarter operating results rise strongly: up 44% in emerging markets.

The Orascom acquisition and our strong positions in emerging markets maintain the Group's growth dynamic despite a volume slowdown in some developed markets.

The Board of Directors of Lafarge, chaired by Bruno Lafont, met on July 31, 2008 to approve the accounts for the period ended June 30, 2008. The Board congratulated the Group for the very fast recovery of its activities in Sichuan province, China, following the May 12 earthquake and for the strong support Lafarge has provided to employees and local communities. 300 houses were inaugurated recently to help affected employees resume normal life as quickly as possible.

First-half key figures

Sales up 8% to €9,069 million, up 14% at constant exchange rate
Current operating income up 18% to €1,611 million, up 24% at constant exchange rate
Strong improvement in operating margin, to 17.8% from 16.2% in 2007
Net income Group share up 15% to €773 M excluding one-off items*
Net earnings per share up 4% to €4.03 excluding one-off items*

Second quarter key figures

Sales up 8% to €5,069 million, up 15% at constant exchange rate
Current operating income up 8% to €1,099 million, up 14% at constant exchange rate
Net income Group share up 9% to €623 M excluding one-off items*
Net earnings per share down 2% to €3.24 excluding one-off items*

Bruno Lafont, Chairman and Chief Executive Officer of Lafarge, declared:

"The Group's very good operational performance was achieved thanks to our strong positions in emerging markets and the well managed integration of Orascom.
The Group continued to accelerate its cost reductions across all operations and we are already responding to the stronger than expected volumes slowdown in some developed markets.
The acquisition of Orascom's highly performing assets, the 15 million tonnes of new cement capacity which come on stream in 2008 in fast growing markets, our next cost reduction plan and continuing progress in our sales of innovative products will allow us to meet our 2010 targets."

Outlook for 2008

We maintain our positive market outlook for the full year, with continued growth in emerging markets and a stronger than expected volume slowdown in some developed markets (United States, Spain, UK).
The fundamentals of our sector remain sound. There are considerable construction and infrastructure needs in emerging markets. We anticipate further growth in the world demand for cement. Lafarge is well armed to make the difference in 2008.
We foresee another year of growth in our Aggregates & Concrete business.
In light of further inflation in energy and transport, we continue to take all necessary steps to preserve our margins.
Additionally, the cost reduction program will continue to generate substantial savings in 2008. The initial target of €340 million will be exceeded to reach more than €400 million by the end of 2008.
We expect another increase in our earnings in 2008.
We confirm our 2010 targets of earnings per share of more than €15, ROCE after tax of more than 12% and free cash flow of more than €3.5 billion.

Group highlights

Strong contribution from emerging markets, with current operating income up 53% in the first half and 44% in the second quarter (+63% and +54% respectively, at constant exchange rate). Emerging markets accounted for 67% of earnings in our Cement business in the first half, 62% in the second quarter.
Continuing resilience of our operations in developed markets thanks to cost-cutting, strong pricing, improvements in industrial performance and the benefits of our innovation strategy.
Growth in current operating income affected by significant currency effect. At constant exchange rate, current operating income increased by 24% in the first half and 14% in the second quarter.
Solid pricing in a context of higher input costs.
Strong increase in operating margin - up 160 basis points in the first half to 17.8% - despite significant increase in energy and transport costs, underscoring the benefits of our cost reduction program.
Benefits of the Orascom acquisition, finalized at the end of January, which contributed to earnings growth. The integration process was completed at the end of June.
Continuation of our program to build new cement production capacity to meet strong demand for construction and infrastructure in emerging markets. 15 MT of new cement capacity to start in 2008.
With the L&T acquisition, announced on May 14, Lafarge will be the leader in concrete in India. As part of its divestment program, Lafarge announced on May 6 the disposal of its 50% stake in the Lafarge Titan joint venture in Egypt.

Consolidated accounts

Consolidated accounts
(€m)	First half			Second quarter
	2007	2008	Variation	2007	2008	Variation
Sales	8,385	9,069	+ 8%	4,690	5,069	+ 8%
Current operating income	1,360	1,611	+ 18%	1,015	1,099	+ 8%
Operating margin (%)	16.2%	17.8%	+ 160 bp	21.6%	21.7%	+ 10 bp
Net income Group share	934	911		572	761
Net income Group share - Excluding one-off items*	673	773	+15%	572	623	+9%
Earnings per share (€) **	€5.38	€4.75		€3.31	€3.96
Earnings per share (€) ** - Excluding one-off items /*	€3.88	€4.03	+4%	€3.30	€3.24	- 2%
Free cash flow	76	129	+ 70%	263	307	+17%
Group net debt	9,445	17,323	+ 83%	-	-	-

*Excluding the impact in 2007 of the disposal of the Roofing business and our Cement and Aggregates & Concrete operations in Central Anatolia, Turkey, and in 2008 the disposal of the Lafarge Titan joint venture in Egypt and the Gypsum provision adjustment.
**Basic average number of shares outstanding of 191.8 million at the end of June 2008, compared to 173.7 million end of June 2007.

Current operating income

Current operating income
(€m)	First half			Second quarter
	2007	2008	Variation	2007	2008	Variation
Cement	1,070	1,380	+ 29%	772	911	+18%
Aggregates & Concrete	244	237	- 3%	226	211	- 7%
Gypsum	82	31	- 62%	36	11	- 69%
Other	(36)	(37)		(19)	(34)
TOTAL	1,360	1,611	+ 18%	1,015	1,099	+ 8%

Highlight by business

Cement: Strong earnings growth

Sales +15% in the first half and +14% in the second quarter (+10% at constant scope and exchange rates in the first half and second quarter).
Current operating income rose strongly, +29% in the first half and +18% in the second quarter (+14% and +7% respectively, at constant scope and exchange rates).
The operating margin improved significantly to 24.1%, from 21.5% in first-half 2007.
Solid growth in emerging markets, which accounted for 67% of results in the first half, with particular strength seen in Central and Eastern Europe and in Asia. Overall, volumes in emerging markets increased by 7%.
Strong contribution of Orascom Cement, consolidated since the end of January 2008, supported by strong market growth.
Good resilience of our operations in developed countries, despite the slowdown in the United States, Spain and the UK.
Strong pricing at a time of higher energy and transport costs.
Positive impact of the cost-cutting program in all regions.

Aggregates and concrete: Tight cost controls, solid pricing

Sales -2% in the first half and -1% in the second quarter (flat at constant scope and exchange rates in the first half and the 2nd quarter).
Current operating income: -3% in the first half and -7% in the second quarter (-1% and -4%, respectively, at constant scope and exchange rates).
Solid pricing and cost reductions offset most of the decline in volumes due to the slowdown in the United States, Spain and the UK and of input cost increases.
Bolstered by our innovation strategy, value-added concrete products accounted for 23% of volumes in the first half of 2008, versus 20% in the same period last year.

Gypsum: Business hit by tough market conditions in the U.S.

Sales -3% in the first half and -2% in the second quarter (+2% and +4%, respectively, at constant scope and exchange rates).
Current operating income -62% in the first half and -69% in the second quarter (-60% and -66%, respectively, at constant scope and exchange rates).
Market conditions were still very difficult in the United States due to the downturn in the housing market.

Investment and divestments

Sustaining capital expenditure was slightly down at €353 million in the first half of 2008 (€389 million in 2007).
Development capital expenditure to increase production capacity totaled €663 million in the first half of 2008, compared to €336 million in 2007, reflecting the internal development program in Cement to meet higher demand in emerging markets. These investments were related in particular to the construction of new cement capacity in China, the US, India, South Africa, Poland, Ecuador, Morocco, Russia, Zambia, Indonesia and Chile, as well as in those countries where Orascom Cement is present.
Acquisitions totaled €8.7 billion and consisted mainly of the acquisition of Orascom Cement, effective as of January 23, 2008. The total acquisition price amounted to 8,3 billion euros and was financed through the issuance of 22.5 million shares for 2.5 billion euros and a syndicated credit facility.
Disposals amounted to €321 million, primarily relating to the sale of the 50% stake in the Lafarge Titan joint venture in Egypt.

Additinal information

Practical information:

Analyst/investor conference call on Lafarge's first-half results to June 30, 2008
Following the release of Lafarge's 2008 Half Year Results, a conference call will be held on:
July 31st, 2008 at 19:30 French time, in English
Hosted by Jean-Jacques Gauthier, Chief Financial Officer

If you wish to participate in the conference call, please dial:
From France: +33 (0)1 70 99 43 03
From UK, toll free (UK only): 0800 028 1299
From USA, toll free (US only): 1888 935 4575
International dial in number: +44 (0)20 7806 1966
Conference call name: "Lafarge"

Please note that a conference call playback will be available online through www.lafarge.com one hour after the end of the conference call.
You may also access it from 22:00, until August 8, at 00:00 AM French time at the following numbers:
From France: +33 (0)1 71 23 02 48
From UK, toll free (UK only): 0800 559 3271
From USA, toll free (US only): 1866 239 0765
International dial in number: +44 (0)20 7806 1970
Pin code for all numbers: 5640346#

Press meeting
A press breakfast with Bruno Lafont and Jean-Jacques Gauthier will be held on Friday, August 1, 2008 at 9 a.m. at Lafarge, 61 rue des Belles Feuilles, 75016 Paris, France.

Notes to editors
Lafarge is the world leader in building materials, with top-ranking positions in all of its businesses: Cement, Aggregates & Concrete and Gypsum. With 90,000 employees in 76 countries, Lafarge posted sales of Euros 17.6 billion and net income of Euros 1.9 billion in 2007.
Lafarge is the only company in the construction materials sector to be listed in the 2008 ‘100 Global Most Sustainable Corporations in the World'. Lafarge has been committed to sustainable development for many years, pursuing a strategy that combines industrial know-how with performance, value creation, respect for employees and local cultures, environmental protection and the conservation of natural resources and energy. 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.

This release may contain forward-looking statements. Such forward-looking statements do not constitute forecasts regarding the Company's results or any other performance indicator, but rather trends or targets, as the case may be. These statements are by their nature subject to risks and uncertainties as described in the Company's annual report available on its Internet website (www.lafarge.com). These statements do not reflect future performance of the Company, which may materially differ. The Company does not undertake to provide updates of these statements.

The slides for the journalist presentation
Audiocast of the analyst presentation
The slides for the analyst presentation
The management report
The press release

Availability of a Prospectus

Fri, 18 Jul 2008 13:26:48 GMT

Lafarge makes available to the public to the public, in accordance with the provisions of regulations currently in force, a prospectus for the listing on Euronext Paris of 22,500,000 new shares issued in favor of N.N.S. Holding Sàrl on March 27, 2008.

The prospectus has received the visa No.08-153 from the Autorité des Marchés Financiers (A.M.F.) on July 16, 2008. It includes:

the French 2007 Annual report (Document de Référence) of Lafarge as filed with the A.M.F. on March 28, 2008 under No. D.08-0169,
the update in French of the French 2007 Annual report (Document de Référence) as filed with the A.M.F. on July 16, 2008 under No. D.08-0169-A01,
a note d’opération in French (which includes a summary of the prospectus).

The document can also be found in the Regulated Information section, and on the A.M.F.’s website (www.amf-france.org).

Notes to editors

Lafarge is the world leader in building materials, with top-ranking positions in all of its businesses: Cement, Aggregates & Concrete and Gypsum. With 90,000 employees in 76 countries, Lafarge posted sales of Euros 17.6 billion and net income of Euros 1.9 billion in 2007.

Lafarge is the only company in the construction materials sector to be listed in the 2008 ‘100 Global Most Sustainable Corporations in the World’. Lafarge has been committed to sustainable development for many years, pursuing a strategy that combines industrial know-how with performance, value creation, respect for employees and local cultures, environmental protection and the conservation of natural resources and energy. 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.

The press release

Lafarge, the first CAC 40 company to receive French and European accessibility labels for its website

Thu, 17 Jul 2008 08:08:09 GMT

The Lafarge website has been recognized for its accessibility, earning it a "Silver" rating under the French Accessiweb label and an A grade from the European label, Euracert. The Lafarge website is the first CAC 40 company website to receive these labels.

The desire to achieve such a high level of accessibility illustrates Lafarge's commitment to excellence in social responsibility. Accessibility means the possibility for everyone, wherever they are, to browse the website:

all Internet users alike, including people with disabilities, elderly people or those with little knowledge of the web
irrespective of their equipment, including mobile phones, P.D.A., technical aids or special equipment used by disabled people (e.g. Braille keyboards, text-to-voice, etc.)
irrespective of the connection speed (narrowband or broadband).

To provide such accessibility the Lafarge's website provides numerous functions and aids to make browsing the site simpler for users. These include:

high color contrast and the possibility of personalizing the display using a larger character font
the possibility of screenless or mouseless navigation, and compatibility with special equipment used by disabled web users
the possibility of listening to the website content via a text-to-voice function
transcripts available for downloading, as an alternative to the flash animations and videos
provision of subtitles and audio descriptions in videos, for people suffering from a hearing or visual impairment.

The Accessiweb and Euracert labels certify website accessibility. They are awarded by the BrailleNet association in line with international recommendations drawn up by the Web Accessibility Initiative (W.A.I.), a program launched by the World Wide Web Consortium. Lafarge was assisted on this project by Atalan, a company specializing in website accessibility.

These enhancements in terms of accessibility were carried out as part of the development of the new Lafarge website, launched at the beginning of 2008, following a complete editorial and technical revamp. The aim was to provide web users with an attractive, highly efficient site, with redesigned ergonomics making for simpler navigation throughout the site.

Accordingly, the new Lafarge's website provides its 130,000 monthly visitors with:

the Group's most recent job offers
a wealth of content, with more than 200 pages highlighting the Group's businesses, its strategy and its commitment to sustainable development
an educational presentation of the challenges facing the Group, via more than 160 case studies, theme-based search engines and glossaries of technical terms
flash animations and videos to highlight the Group's partnership with architects, the science at the heart of building materials and the quality of Lafarge's R&D
innovative functions such as R.S.S. and podcasts
services for web users and shareholders, with the possibility of signing up for S.M.S. and e-mail alerts, publication orders or subscriptions, and the possibility of corresponding with various players within the Group.

Notes to editors

Lafarge is the world leader in building materials, with top-ranking positions in all of its businesses: Cement, Aggregates & Concrete and Gypsum. With 90,000 employees in 76 countries, Lafarge posted sales of Euros 17.6 billion and net income of Euros 1.9 billion in 2007.

Lafarge is the only company in the construction materials sector to be listed in the 2008 ‘100 Global Most Sustainable Corporations in the World'. Lafarge has been committed to sustainable development for many years, pursuing a strategy that combines industrial know-how with performance, value creation, respect for employees and local cultures, environmental protection and the conservation of natural resources and energy. 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.

The press release

Paris-Plages 2008: Lafarge at the heart of life in the city placing the environment at the core of its action

Wed, 16 Jul 2008 08:54:48 GMT

For the 6th year running, Lafarge has joined forces with the City of Paris to transform the banks of the Seine for the summer period, as part of the operation Paris-Plages 2008.

For the purpose, Lafarge has supplied the 2,000 tonnes of sand needed to create the stretches of beach along the Voie Georges Pompidou and at the Bassin de la Villette, shipping this in by river from its quarry at Sandrancourt, located west of Paris.

Through this partnership, Lafarge, world leader in aggregates and the Paris region's main producer, is making its contribution to the life of the city, while at the same time demonstrating the benefits of sand, an essential material for urban development.

Lafarge's sustainable development strategy is emphasized not only by the choice of river transport for this operation but also by the expertise developed by the Group to rehabilitate its quarries, transforming them into veritable reservoirs of biodiversity.

Aggregates - an essential material for the city

With more than 400 million tonnes produced every year in France, aggregates (sand and gravels) are the third most commonly used raw material worldwide, after air and water. They are one of the key components used in concrete and play a fundamental role in urban development and construction. In Paris and the surrounding area, more than 12 million tonnes of aggregates are used every year in the construction and renovation of housing and infrastructures.

Within Paris, aggregates produced in Lafarge quarries located in the Parisian basin are for the most part transported by water, on the Seine and its navigable tributaries. This choice makes it possible to use an environmentally friendly, safe, economical and punctual means of transport, causing neither noise pollution nor traffic congestion.

The delivery of the 2,000 tonnes of sand for Paris-Plages in a single river convoy saves the equivalent of around 100 lorries.

9 million tonnes of aggregates transit every year via the Seine, for construction work in Paris and the surrounding area, thus avoiding some 600,000 lorries on the streets of the French capital. Nearly 2 million tonnes are transported by Lafarge, which owns France's biggest private river fleet, comprising 7 pusher-tugs and 140 barges.

From the city to the quarry, the common challenge of biodiversity

To meet the increasing need for aggregates, it is necessary to have extraction sites located near Paris. From these quarries, located along the Seine and its tributaries, aggregates can be delivered to the very heart of the city.

However, the impact caused by a quarry must be taken into account, even if it is limited in time and space. The influence of human activities on biodiversity must be harnessed, ensuring a second life for the sites once extraction work is over. For this reason, at each of its quarries, Lafarge establishes a rehabilitation plan, in coordination with the extraction operations, following consultations with local authorities, associations and administrations. With over 35 years' experience in this domain, Lafarge can offer innovative and varied rehabilitation plans. Once extraction is over, its quarries thus become forest, agricultural or leisure areas. The Group also proposes ecological rehabilitation plans, with the creation of dry and wet zones. These sites, managed over the long term by Lafarge, offer significant potential for biodiversity, thanks to the specific wildlife and plant life that develop in them.

The Grenelle de l'Environnement (Grenelle Environment Round Table) highlighted the benefits of quarries as reservoirs of biodiversity. For the French number one in aggregate production, biodiversity in its quarries is an important challenge and Lafarge was very involved in Grenelle discussions on this subject. Many of Lafarge's quarries aim to increase biodiversity and the Group has worked with W.W.F. to develop an index to measure the biodiversity in its quarries and develop their potential.

A concrete example: Sandrancourt (Yvelines)

Located in a hollow of a large meander on the Seine, the Sandrancourt quarry is in the very heart of the Vexin Regional Park. This rural, natural landscape is thus protected just 60km outside Paris. Lafarge has operated the site for some forty years, producing nearly 700,000 tonnes of aggregates every year to meet local and regional needs. The 2,000 tonnes of sand for Paris-Plages are shipped by river from Sandrancourt right into the heart of the French capital.

To protect the region's major natural resources (varied natural environments, specific landscape, water preservation...), Lafarge has worked alongside local stakeholders on the overall development of its extraction sites, favoring long-term management and thus contributing to the creation of a 200-berth marina at Ilon, over 100 hectares of reforested land, and 80 hectares of grassland, lawns, heath land and wetland. These rich and varied environments are regularly adopted by remarkable animal species, such as the Eurasian thick-knee (also known as the European stonecurlew). Moreover, in partnership with the Ile de France Regional Grasslands Agency, Lafarge has contributed to the development of the 35-hectare "Flicourt Regional Domain", which currently houses over 300 plant species and more than 160 breeds of birds, including 43 remarkable species and 10 red-listed as endangered species in France.

Notes to editors

Lafarge is the world leader in building materials, with top-ranking positions in all of its businesses: Cement, Aggregates & Concrete and Gypsum. With 90,000 employees in 76 countries, Lafarge posted sales of Euros 17.6 billion and net income of Euros 1.9 billion in 2007.

Lafarge is the only company in the construction materials sector to be listed in the 2008 ‘100 Global Most Sustainable Corporations in the World'. Lafarge has been committed to sustainable development for many years, pursuing a strategy that combines industrial know-how with performance, value creation, respect for employees and local cultures, environmental protection and the conservation of natural resources and energy. 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.

The press release

Lafarge sponsors the furure Islamic Art Department at the Louvre Museum

Thu, 10 Jul 2008 14:54:49 GMT

Henri Loyrette, Chairman and Director of the Louvre Museum, and Bruno Lafont, Chairman and CEO of Lafarge, today announced Lafarge's sponsorship of the construction of the future Islamic Art department at the Louvre Museum.

Lafarge has been committed for many years to promoting architectural innovation, the protection of cultural heritage and the diversity of world cultures. With an extensive presence in the countries which are the birthplace of Islamic art, Lafarge has now entered into a long-term partnership with the Louvre Museum for the construction of the future Islamic Art department, which will house one of the world's finest collections of art from this period.

The Cour Visconti, situated in the center of the South Wing of the Louvre, has been chosen to house the future exhibition space devoted to the Islamic Art collection, at the heart of a circuit that encompasses the museum's oldest collections: Antiquities on the ground floor and Paintings on the first floor. The works of art which will be exhibited cover the whole cultural spectrum of Islamic civilisation.

This exceptional project, in harmony with Lafarge's values of respect and diversity, will contribute to dialogue between cultures and to the recognition of this civilisation's major contribution to the world's artistic and cultural heritage.

Founded in France 175 years ago, Lafarge now operates in 80 countries and is committed to fostering the development and promotion of local cultures. With this partnership, Lafarge is taking part in a project which is emblematic of French excellence in the field of culture, contributing to the promotion and development of the world's cultural heritage.

As an inventor of materials destined to serve architectural creation, Lafarge has for many years worked in close partnership with architects throughout the world, constantly pushing back the limits of its materials to enable architectural feats and contribute to sustainable construction methods. The project, by architects Rudy Ricciotti and Mario Bellini represents a remarkable architectural innovation, eminently contemporary and audacious, while respecting the original environment.

Lafarge is the world leader in building materials, with top-ranking positions in all of its businesses: Cement, Aggregates & Concrete and Gypsum. With 90,000 employees, the Group is present in 76 countries.

Lafarge is the only company in the construction materials sector to be listed in the ‘100 Global Most Sustainable Corporations in the World'. Lafarge has been committed to sustainable development for many years, pursuing a strategy that combines industrial know-how with performance, value creation, respect for employees and local cultures, environmental protection and the conservation of natural resources and energy. To make advances in building materials, Lafarge places customers and architects at the heart of its concerns and boasts the world's leading building materials research facility, in order to develop ever more innovative products and solutions.

The press release

C.S.I: a sectoral approach to accelerate reductions in CO2 emissions

Wed, 02 Jul 2008 14:03:28 GMT

W.B.C.S.D.'s Cement Sustainability Initiative Urges G8 Leaders to Adopt Sectoral Approaches to Accelerate Reductions in Carbon Emissions

The W.B.C.S.D.'s Cement Sustainability Initiative (C.S.I.), currently co-chaired by Lafarge and Taiheiyo Cement, today called on G8 members and the U.N.F.C.C.C. to accelerate the creation of a policy framework that will allow the development of effective sectoral approaches.

At a meeting in Paris, Mr Bruno Lafont, Chairman and C.E.O. of Lafarge, was joined by the President of the W.B.C.S.D. Mr Bjorn Stigson in encouraging the concept of sectoral approaches to be tabled at next week's G8 Summit.

"While discussions are underway to reach a global climate agreement, complementary sectoral approaches could be put into place under which key industry players could work together to accelerate CO2 reductions." explained Mr Stigson.

The cement sector is well placed to adopt a sectoral approach on CO2 emissions, thanks to a CO2 measuring and reporting protocol developed in 2002 by the W.B.C.S.D.'s Cement Sustainability Initiative (C.S.I.). This protocol is now being used by 80% of the world's cement industry.

"As an industry, we are leading in the adoption of tools that can be used to target climate change. Member companies of the C.S.I. have set voluntary individual CO2 reduction targets which are delivering encouraging results and we have today announced a significant drop in emissions per tonne of cement produced by our members." said Mr Lafont.

Figures released by the C.S.I. show that the average net specific emissions per tonne of cement of its 18 members have fallen from over 760kg CO2/tonne in 1990 to 670kg in 2007. This reduction equates to CO2 savings in 2007 of over 70 million tonnes, compared to 1990 performance.

"These results are encouraging and show that reducing C_O2intensity in cement is possible. To go further, we are calling on G8 members and the U.N.F.C.C.C. to accelerate the creation of the necessary policy framework for effective sectoral approaches," commented Mr Lafont.

As part of its work on identifying actions that cement manufacturers can take to improve the sustainability of their industry, the C.S.I. developed the first global cement database, charting CO2 and energy, with independently verified data. It is the accurate collection of data of this type that will prove crucial in the successful application of sectoral approaches by industry.

"There are a number of benefits with sectoral approaches." said Mr Stigson. "They offer a way of mobilizing emerging economies in CO2 mitigation. This is important when we consider that 80% of emissions in the cement sector come from developing regions. Sectoral approaches also enable a small number of key industry players, or indeed countries, to become engaged quickly."

Cement is strategic for any country's development. The amount of cement consumed continues to rise as emerging countries pursue their legitimate economic development goals and their populations become more urbanized. However, by demonstrating that emissions per tonne have been reduced, and designing a model for sectoral approaches that can be transferred to other industries, the C.S.I. is hopeful that sectoral approaches will be recognised by G8 as viable and complementary to a global climate agreement.

Notes to Editors

The World Business Council for Sustainable Development (W.B.C.S.D.) is a C.E.O.-led membership based organization of over 200 leading global corporations. Its purpose is to advocate the business and broader societal benefits of sustainable development.

The Cement Sustainability Initiative (C.S.I.) was created in 1999 to explore what sustainable development means for the cement industry and identify and undertake joint and individual actions to improve the sustainability of the cement industry. The C.S.I. today has 18 members, with operations in more than 100 countries worldwide.

More information on the W.B.C.S.D.'s Cement Sustainability Initiative is available on: www.csiprogress2007.org

The Cement Sustainability Initiative (C.S.I.)
Climate change and CO2 reduction
The press release

Lafarge acquires a 35% stake in the Meftah cement plant in Algeria, as part of the privatization process

Sat, 21 Jun 2008 12:59:49 GMT

Lafarge has today announced the acquisition of a 35% stake in the Meftah cement plant, which is very well positioned in the Algiers market, together with a 10-year management contract. The cost of the investment amounts to €43.5 million.

An investment program will be put into place to modernize the Meftah cement plant, to increase its capacity from 0.8 million to 1.1 million tonnes by 2010 and improve the plant's environmental performance. This project will be accompanied by a major training program for the plant's employees.

This development will allow the Group to participate in the presidential housing and infrastructure program and to meet the very strong demand for cement arising from the country's development requirements.

With a leadership position in Algeria in each of its businesses - Cement, Aggregates & Concrete, and Gypsum, Lafarge continues to pursue its development in this fast-growing and high-potential market.

Notes to editors

Lafarge in Algeria
Lafarge holds a leadership position in Cement and Aggregates & Concrete in Algeria following its acquisition of Orascom Cement in January. With two plants boasting a cement capacity of 8 million tonnes, 6 concrete plants, 5 quarries and a plasterboard facility, Lafarge employs 2,100 staff in Algeria.

Lafarge is the world leader in building materials, with top-ranking positions in all of its businesses: Cement, Aggregates & Concrete and Gypsum. With 90,000 employees in 76 countries, Lafarge posted sales of Euros 17.6 billion and net income of Euros 1.9 billion in 2007.

Lafarge is the only company in the construction materials sector to be listed in the 2008 ‘100 Global Most Sustainable Corporations in the World'. Lafarge has been committed to sustainable development for many years, pursuing a strategy that combines industrial know-how with performance, value creation, respect for employees and local cultures, environmental protection and the conservation of natural resources and energy. 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.

The press release

Statement of Eric Olsen as of 06/17/2008 for an operation on 06/09 - in French

Tue, 17 Jun 2008 15:05:40 GMT

The statement - in French

Second statement of J. Guiraud as of 06/06/2008 for an operation on 06/04 - in French

Fri, 06 Jun 2008 08:59:11 GMT

The second statement

First statement of J. Guiraud as of 06/06/2008 for an operation on 06/04 - in French

Fri, 06 Jun 2008 08:45:10 GMT

The first statement - in french

Sara Ravella appointed as Director of Communications and to Executive Committee of Lafarge

Wed, 04 Jun 2008 12:20:34 GMT

Lafarge has announced the appointment of Sara Ravella as Director of Communications. Sara Ravella also joins the Group Executive Committee.

Sara Ravella, 37 years old, graduated from Bocconi University in Milan (Italy) and holds a PhD from the London School of Economics (U.K.).

She joined Lafarge in 2003, as Senior Vice-President Organization, Development and Training, within the Human Resources department. In this role, she built the Lafarge University and supported the Group in its organizational and cultural change.

She started her career at the United Nations in Geneva. She then occupied international posts in strategy, change management, development of human resources and organizations at several companies, including STMicroelectronics and Rhodia.

Her appointment has been made following the departure of Philippe Hardouin, Director of Communications at Lafarge from 2001 to 2008, who is going to take on new responsibilities outside the Group.

Notes to editors

Lafarge is the only company in the construction materials sector to be listed in the 2008 ‘100 Global Most Sustainable Corporations in the World'. Lafarge has been committed to sustainable development for many years, pursuing a strategy that combines industrial know-how with performance, value creation, respect for employees and local cultures, environmental protection and the conservation of natural resources and energy. 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.

The Executive Committee
The press release

June 2008: Safety Month at the 3,000 Lafarge sites around the world

Mon, 02 Jun 2008 12:13:27 GMT

Lafarge announces the launch of "Safety Month", which will take place during the month of June at all of the Group's 3,000 sites worldwide. In the 76 countries where Lafarge is present, at every site, one or more days will be devoted to safety awareness programs and training, for the Group's employees, as well as their families, subcontractors and local communities.

In January 2006, Bruno Lafont, Chairman and CEO of Lafarge singled out safety as an absolute priority for all employees, considering that it was the best way of expressing the Group's values and an essential condition for operational excellence. Lafarge is already one of the safest companies in its sector, but in 2006, Bruno Lafont set an objective for the Group to become one of the world's leading industrial groups in terms of health and safety, with the ambition of achieving zero accidents as quickly as possible.

Following an audit carried out with the Dupont "Safety Resources" unit to make a diagnosis of the situation, based on questionnaires, interviews and an assessment of representative sites, the Group defined the outlines of an ambitious roadmap aimed at halving the number of lost time incidents between 2005 and 2008, and achieving zero accidents in the longer term.

The measures taken by Lafarge as part of this roadmap have started to yield results: the lost time injury frequency rate has been almost halved since 2005, reaching 1.66* at the end of 2007, a year earlier than the initial objective.

The roadmap put into place by Lafarge covers all aspects of performance in terms of health and safety:

Creation of a dedicated organization, reporting to top management
A Group health and safety department has been set up, headed up by one of the Group's top 25 managers. The Group Health and Safety Director reports directly to the Chairman and CEO and the department supervises and coordinates the activities of health and safety managers throughout the Group's business units, who themselves report to the highest managerial level within their units.

Development of Group standards, deployed worldwide
In 2006, Lafarge launched a new safety policy, which every one of the Group's 90,000 employees has signed, representing their commitment to the approach. The audit carried out in 2006 identified four situations in the Group's activities which require a specific approach: working at height, power insulation tasks, access to confined spaces and use of mobile equipment. Standards have been defined and deployed for each of these operations in all units worldwide, enabling each site to ensure that the accident prevention rules are implemented.

Leadership and empowerment of managers
Safety has become a key career management criterion within the Group. The Group's 400 top managers have undergone a training program on the role and importance of leadership on the issue of safety. Furthermore, the results and state of progress of the health and safety roadmap are part of the annual performance and bonus criteria applicable to all operational managers.

Stronger efforts to raise awareness among employees
To raise awareness among employees that safety is a crucial challenge on a daily basis and to involve them in ongoing efforts to improve safety performance, training programs have been set up at each site, for both employees and subcontractors.
Lafarge has also decided to hold an annual "Safety Month", which will be held this year in June, at all of the Group's 3,000 sites. During the month, each site will organize events, open days, sessions to raise awareness and communication campaigns on the theme of health and safety, with the Group's support. All employees, but also their families, subcontractors and the local communities living near the Group's sites, will take part, in order to involve as many people as possible.

Developing the sharing of best practice among business units
To create internal momentum and encourage business units to adopt best practices already developed elsewhere in the Group, Lafarge has set up a "Safety Excellence Club" to reward performance at the best business units. Those units which have achieved a high level of performance in terms of safety are eligible to join. These units are awarded a label enabling them to promote their results in terms of safety, comprising a wide variety of communications materials.

* Lost Time Injury Frequency Rate = number of accidents leading to loss of time, by million hours worked.

NOTES TO EDITORS
Lafarge is the world leader in building materials, with top-ranking positions in all of its businesses: Cement, Aggregates & Concrete and Gypsum. With 90,000 employees in 76 countries, Lafarge posted sales of Euros 17.6 billion and net income of Euros 1.9 billion in 2007.
Lafarge is the only company in the construction materials sector to be listed in the 2008 ‘100 Global Most Sustainable Corporations in the World'. Lafarge has been committed to sustainable development for many years, pursuing a strategy that combines industrial know-how with performance, value creation, respect for employees and local cultures, environmental protection and the conservation of natural resources and energy. 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.

The press release

Statement of J. Guiraud as of 05/30/2008 for an operation on 05/27 - in French

Fri, 30 May 2008 14:02:46 GMT

The Statement - in French

Lafarge carries out Euro 1.5 billion bond issue

Wed, 21 May 2008 12:51:05 GMT

Lafarge has carried out a dual-tranche Euro 1,5 billion bond issue consisting of :

a € 750 million tranche, 3-year maturity, annual coupon of 5.750%
a € 750 million tranche, 7-year maturity, annual coupon of 6.125%

Lafarge, whose long-term senior debt is rated Baa2 by Moody's and BBB by Standard & Poor's, set on May 19 the terms of its new dual-tranche bond issue denominated in euros.

The issue was very well received by investors. Thanks to high demand (€ 3.1 bn orders for the 3-year tranche, and € 2.5 bn for the 7-year one) and the quality of the book, the respective spreads at launch were at the tight end of the initial price guidance, at 125 bps over the 3-year Mid Swaps, and 170 bps over the 7-year one.

This transaction enables Lafarge to benefit from the significant improvement in issuance conditions over the past few weeks on the Euro bond market. It contributes to the partial refinancing of the bank facility which was put into place for the financing of the Orascom Cement acquisition at the end of 2007.

Placement was made across a diversified investor base, mainly in France, the UK, and Germany.

HSBC, Natixis, The Royal Bank of Scotland and Société Générale acted as lead managers for this bond issue.

The press release

Statement of B. Collomb as of 05/15/2008 for an operation on 05/07 - in French

Thu, 15 May 2008 14:16:22 GMT

The statement - in French

Lafarge actively participates in rescue efforts following earthquake in Sichuan Province, China

Thu, 15 May 2008 11:10:34 GMT

To support rescue efforts, Lafarge has donated 1.5 million euros to the cities of Dujiangyan and Mianyang, situated in Sichuan Province. Both cities were severely affected by a 7.8-magnitude earthquake on May 12.

Lafarge runs Cement and Gypsum operations in Sichuan Province. One of its 16,000 employees in China was killed by the collapse of his home during the earthquake. Two of the Group's 27 Chinese plants were damaged - the cement plants of Dujiangyan and Jiangyou. Production is currently stopped at both plants. Lafarge is doing everything possible to ensure the well-being of its employees and re-start production at these two plants as soon as possible.

To date, Lafarge has provided shelter and support for over 3,000 people at its Jiangyou plant in Mianyang and over 300 people in Dujiangyan, providing them with food, water, sanitary facilities and temporary shelters. Meanwhile, around 100 Lafarge employees are working side by side with local rescue teams and the Group has supplied equipment such as quarry vehicles to free those people still trapped in the rubble and to transport food supplies into the affected regions.

Lafarge has launched a donation drive among its 16,000 employees in China to support its employees in the disaster areas. The Group will match the amount donated by employees.

Bruno Lafont, Chairman and CEO of Lafarge, who arrived in China the day after the disaster, held an emergency meeting in Beijing as soon as he arrived. Lafarge immediately set up a 50-person task force, to help employees and the local population, and afterwards to work on re-starting production at the Dujiangyan and JiangYou plants

Bruno Lafont declared:

"On behalf of Lafarge, I would like to extend my sincere condolences to China and to all those who have lost family and friends in this catastrophe. Since the earthquake, we have been focused on helping our employees, their families and the local communities around our plants affected by this tragedy. At this difficult time, Lafarge is determined to do everything possible to support both its employees and the local population surrounding its operations."

Bruno Lafont will go to Sichuan on Friday 16 May, to meet employees and the local people currently being sheltered at these two plants, as well as the local authorities.

Notes to editors

About Lafarge in China
Lafarge entered the Chinese market in 1994 and is now present in all of its businesses (Cement, Aggregates & Concrete and Gypsum), with around 16,000 employees. Lafarge Shui On Cement is the market leader in south-west China with a total production capacity of around 24 million tonnes.

Lafarge is the world leader in building materials, with top-ranking positions in all of its businesses: Cement, Aggregates & Concrete and Gypsum. With 90,000 employees in 76 countries, Lafarge posted sales of Euros 17.6 billion and net income of Euros 1.9 billion in 2007.
Lafarge is the only company in the construction materials sector to be listed in the 2008 ‘100 Global Most Sustainable Corporations in the World'. Lafarge has been committed to sustainable development for many years, pursuing a strategy that combines industrial know-how with performance, value creation, respect for employees and local cultures, environmental protection and the conservation of natural resources and energy. 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.

The press release

Lafarge acquires L&T Concrete to become the leader in the Indian ready-mix concrete market

Wed, 14 May 2008 04:22:02 GMT

In line with its strategy to develop its Aggregates & Concrete business in emerging markets, Lafarge today announced the acquisition of L&T Concrete for an enterprise value of 226 million euros. Lafarge will be acquiring 66 highly efficient concrete plants located across India, in key markets such as Delhi, Kolkata, Mumbai and Bangalore, with total estimated volumes of 4.1Mm3 in 2008 and a market share of approximately 25%. The acquisition will be accretive to Lafarge earnings per share from 2009. With this acquisition, Lafarge establishes itself as the leader in the Indian readymix concrete market.

The readymix concrete market is still in an early stage of its development in India, but offers strong growth and value creation potential. The Indian construction market is developing to meet significant demand for new housing, urbanization and infrastructure.

This acquisition marks an important step in Lafarge's strategy to develop its Aggregates & Concrete business in emerging markets. It will provide the Group with an excellent platform to develop further its Aggregates & Concrete business in the fast-growing Indian market, along with a very experienced team.

India offers strong potential for introducing innovative products. Lafarge boasts the world's leading research facility in building materials and has developed innovative, value-added concrete products over the last ten years which contribute to improving construction methods and working conditions on building sites. One of Lafarge's key strategic focuses today is innovation in concrete, which translates into an accelerated roll-out of value-added concrete products in both developed and emerging markets. Lafarge will be aiming to offer the Indian market its most advanced and value creative solutions for construction.

Lafarge Chairman and CEO, Bruno Lafont, declared:

"Lafarge was the first in its industry to move into Aggregates and Concrete in a significant way, over 10 years ago, and to develop a unique expertise in creating value in the Concrete business. With this acquisition, we are taking a pioneering step in the emerging Indian market."

This acquisition follows the recent start-up of operations at Lafarge's first Greenfield readymix concrete plant in Raipur, in the state of Chhattisgarh and marks a decisive step in Lafarge's strategy to grow its presence in the Indian readymix market.

Lafarge is already present in India in its other businesses and is investing to develop its Indian operations, in order to accompany market growth. In cement, Lafarge has emerged as a major player in the eastern region of India, with a cement production capacity of 5.5 million tons and a strategic plan to more than double its presence in the next five years through greenfield projects in several regions. In Gypsum, Lafarge is already supplying the Indian market and is currently building a plasterboard plant near New Delhi, Rajasthan, with an annual capacity of around 10 million m².

Notes to editors

Lafarge in India

Lafarge entered the Indian market in 1999, through its cement business, with the acquisition of Tata Steel's cement activity. This acquisition was followed by the purchase of the Raymond Cement facility in 2001. Lafarge currently has three cement plants in India: two plants in the state of Chhattisgarh and a grinding plant in Jharkhand. Lafarge's total cement production capacity in the Indian market currently stands at around 5.5 million tons and the Group has launched an ambitious program to more than double its capacity in the next five years. Operations started at Lafarge's first Greenfield readymix concrete plant in April 2008 and the Group is also building a plasterboard plant near New Delhi, Rajasthan, with an annual capacity of around 10 million m².

The press release

Annual General Meeting of Lafarge shareholders

Wed, 07 May 2008 17:45:16 GMT

The ordinary Annual General Meeting of Lafarge shareholders, which was held in Paris on May 7, 2008 under the chairmanship of Bruno Lafont, approved the 2007 financial statements.

The Group reiterated that 2007 was another year of strong earnings growth, highlighted by the achievement of most Excellence 2008 targets a year early, the launch of the "Sustainability Ambitions 2012" road map and the announcement of the acquisition of Orascom Cement.

At the Annual General Meeting, shareholders approved a dividend payment of €4 per share, representing an increase of 33% compared with 2007. The dividend will be paid on May 26.

Three new directors were appointed at the Annual General Meeting, namely Gérald Frère, Jérôme Guiraud and Michel Rollier, to replace Alain Joly, Michael Blakenham and Jacques Lefèvre respectively.

Gérald Frère is Managing Director of Group Bruxelles Lambert.

He joined the family company, the Frère-Bourgeois Group (Belgium), in 1972. He was appointed to the Board of Directors of Group Bruxelles Lambert in 1982, became Managing Director in 1993 and has been Chairman of the Executive Committee since that time.

He is also Chairman of the Board of Directors of Compagnie Nationale à Portefeuille S.A. (CNP) and TVI S.A. (RTL Belgium). He is Regent of the National Bank of Belgium. Aged 57, he is Vice-Chairman of the Board of Directors of Pargesa Holding S.A (Switzerland), Director of Power Financial Corporation (Canada) and Suez-Tractebel S.A (Belgium).

Jérôme Guiraud is a Director of Orascom Construction Industries.

He began his career at the French Embassy in Zagreb (Croatia) before joining the internal audit department of Société Générale, l'Inspection generale, in 1986. From 1993, he was successively appointed Deputy Managing Director of the Spanish branch of Société Générale and Equity Corporate Finance co-manager for the Eastern Europe/Middle East/African region at SG Securities in London. In 2000 he became Director and CEO of National Société Générale Bank and in 2004 he was appointed Chairman of the Executive Board of Société Générale Marocaine de Banques in Casablanca. He joined Orascom in 2008.

Mr Guiraud, 47, is a graduate of the Hautes Etudes Commerciales (HEC) business school.

Michel Rollier is Managing Partner of Michelin.

He began his career in 1971 at Aussedat-Rey (International Paper Group), where he successively held the position of controller, Unit Operational Manager, Chief Financial Officer and from 1994 Deputy Managing Director. In 1996, he joined Michelin as Chief Legal Officer and Director for Financial Operations and was appointed member of the Michelin Group Executive Committee in 1999.

Mr Rollier, 63, graduated from Sciences-Po Paris and also holds a law degree.

Notes to editors

Vote on resolution
The webcast
The press release
The General Meeting presentation slides