The turnaround in 2000 Aker Verdal as 23.09.2009 Former President Bjørnar Skjevik

Presentation Brief orientation of Aker Verdal What caused the crises in 1999/2000 How we mobilized to handle the situation. The achievement from the turnaround The successcriteria

Presentation Brief orientation of Aker Verdal What caused the crises in 1999/2000 How we mobilized to handle the situation. The achivement from the turnaround The successcriteria

1971 21-Sep-18

1975 Aker H3 21-Sep-18

Verdal Industriel Estate 2002 Present

Steel structure to support toppside facilities Non domestic Competitors !! Jacket 21-Sep-18

Toppside facilities Domestic competition !!

Hull for floating plattforms 21-Sep-18

Jacket as the only product Efficient Vulnerable !!

Aker Kværner Aker Drilling Revenues exceeding NOK 80 billion Approx 35.000 employees Controls companies with combined market cap of ca NOK 65 billion Aker Kværner 40.1 % Aker Drilling 39.9 % 100 % 64.95 % Aker Capital Aker Seafoods Aker Oilfield Services 75 % Aker Floating Production 50.1 % Aker Exploration 49 % 100 % Aker BioMarine 75.3 %1 Aker American Shipping 53.2 % Aker Material Handling Aker holding shown (in %) as of 30 March 1 72.5 % after the merger with Natural

Utilizing Aker Kvaerner Experience Mooring & Transfer Systems Onshore Production & Processing Concrete Solutions for Harsh Environments Land Terminals Floating LNG & Methanol Tentech & Masa FPSOs Drilling Systems LNG Receiving Terminals Tension Leg Platform Deep Draft Semisubmersible Topsides & Modules Flowlines & Flow Assurance Riser & Tether Technologies Installation & Removal (Floatover) Jacket Technology P-Series Semisubmersible Subsea Technologies Reservoir Modelling & Interpretation Downhole Technologies Umbilical & Flowline Technologies Concept screening & selection FEED EPC Exploration & drilling Inst. Rem- oval Operation Maint. Mod. Maint.

Presentation Brief orientation of Aker Verdal What caused the crises in 1999/2000 How we mobilized to handle the situation. The achivement from the turnaround The successcriteria

Immediate actions required ! In the late 90`s Oil price dropped to 10-20 $ a barrel Oil companies put investmenplans on hold Excess capasity in the industry Shut downs – lay off more than likely Immediate actions required ! 21-Sep-18

The reality for Aker Verdal ! Two Years before new potential contracts Most off the workforce will be redundant Individuals on the national scene : ”Shut down Aker Verdal ”

21-Sep-18

The options : Accept shutdown Fight ”as is” Go for a turnaround

Presentation Brief orientation of Aker Verdal What caused the crises in 1999/2000 How we mobilized to handle the situation. The achivement from the turnaround The successcriteria

Mobilizing for the future Management and the unions : We agreed to act fast We agreed to exit the multidisciple marked We agreed to seek new development 21-Sep-18

Lay off : 400 employees Denne foilen vises ikke på møtet. For rental

Mobilizing The owner Own employees Public authorities

Way forward Seek funding for the training program Downsizing – lay off De - merging into 6 companies Establish - new development/innovation

Verdal Videregående Skole Extensive training- Knowledge & skills Verdal Videregående Skole Partnership !!

Verdal Videregående Skole Training-program Verdal Videregående Skole Aker Verdal AS

New development INDUSTRI INKUBATOR Aker Verdal IndPro Downsizing Layoff / hire out Demerging New contracts Training-program Make fabrication facilities and infrastructure available External relations Spin-offs New companies 21-Sep-18

Development tools

Presentation Brief orientation of Aker Verdal What caused the crises in 1999/2000 How we mobilized to handle the situation. The achivement from the turnaround The successcriteria

Valhall jacket

-noen nye utviklingsorienterte bedrifter

Verdal Industripark 40 -50 new establishments Verdal Industripark ca 130 companies ca 2500 employees Annual turnover 5 bill. NOK 21-Sep-18

More robust community Not dependent on one big player Denne foilen vises ikke på møtet.

Presentation Brief orientation of Aker Verdal What caused the crises in 1999/2000 How we mobilized to handle the situation. The achivement from the turnaround The successcriteria

Why success ? Acknowledge realities Acting fast Support from the Labour Union Support from local/regional authorities 6 millions Euro in public benefit Focus on new possibilities Hard work & staying power