SUEZ 2007 Revenues: Sustained Growth for the Year: +7.2%



    PARIS, Jan. 31 /CNW/ -

    4th Quarter Accelerated Growth: +11.5%

    
    In EUR millions       December 31  December 31        Gross      Organic
                                 2007         2006       Change       Growth

    Group Revenues            47,475       44,289         +7.2%        +6.2%
    Change excluding
     climate effect                                                    +7.0%

    In 2007, SUEZ (NYSE:   SZE) generated revenues of EUR 47.5 billion.
Excluding climate effect, revenues increased by +7.0% over 2006, with an
acceleration of organic growth in the second half, thanks to:

    -   Increased electricity sales in Europe and internationally, in terms
        of volume and value,

    -   Sustained LNG activity,

    -   Continued growth of energy-related installation and services in
        France and Belgium,

    -   Persistent high organic growth rates in Europe's water and waste
        sectors,

    -   Double-digit expansion in environment activities in China, Australia
        and North America.

    Each business line made significant contributions to organic growth in
revenues:

    -   SUEZ Energy Europe (+5.8%; +EUR 916 million) benefited from booming
        sales, particularly in France and Germany, in a context of Europe-
        wide increases in electricity prices.

    -   SUEZ Energy International (+11.2%; +EUR 654 million) owed its growth
        to a dynamic business climate in all of SEI's development zones,
        especially on the American continent and in the Middle-East, fueled
        by increased energy demand and higher prices.

    -   SUEZ Energy Services (+5.3%; +EUR 559 million) reported particularly
        strong expansion in France of installation and maintenance services
        (+7.7%, or +EUR 241 million), improved service-related sales in
        Belgium, and rapid expansion in the United Kingdom and Spain.

    -   SUEZ Environment (+5.1%; +EUR 557 million) showed organic revenue
        growth bolstered by Waste Services in France (+4.1%;
        +EUR 101 million) and in the United Kingdom (+11.6%,
        +EUR 102 million), by Water France (+3.1%, +EUR 63 million), and by
        Agbar (+8.2%, +EUR 127 million), as well as by International (+4.5%,
        +EUR 111 million), particularly China (+28%).
    

    In 2007, the Group generated more than 89% of its revenues in Europe and
in North America, of which 80% came from the European continent alone.
    The Group's commercial dynamism is also illustrated by the signature of
numerous contracts during 4th quarter 2007 with potential for future growth,
for example: renewal of the contract with the City of Indianapolis for
wastewater collection and treatment; a contract for the design, construction,
and operation of a plant for wastewater reuse in Dubai; several contracts for
waste services (Nimes, Lyon, etc.) and energy services (Antwerp, Le Havre,
Limeil-Brevannes, etc.); acquisition of several wind energy farms in Portugal;
contracts for the construction of a 660 MW electric power plant in Thailand
and for the construction of an LNG regasification terminal in Chile.
    The increase in total revenues reached +7.2% (+EUR 3,186 million), which
is broken down as follows:

    
    -   organic growth: +EUR 2,686 million

    -   effect of gas price increases: +EUR 118 million

    -   effects of changes to the group's structure: +EUR 812 million, of
        which:

    (*) +EUR 1,778 million from newly consolidated companies: SEE
        +EUR 978 million (full consolidation of CNR for +EUR 660 million,
        acquisition of Rendo and Cogas in the Netherlands for
        +EUR 314 million), SEI +EUR 111 million (acquisition in Panama), SES
        +EUR 177 million (acquisition of Crespo y Blasco in Spain, Snohvit),
        and SE +EUR 513 million (acquisitions in Waste Services, particularly
        in the United Kingdom and in France);

    (*) -  EUR 966 million from companies removed from consolidation: SEE -
           EUR 239 million (July 1, 2006 deconsolidation of the operator of
           the Brussels network, proportional consolidation of AlpEnergia
           from August 2006), SEI
        -  EUR 258 million (disposal of Hanjin City Gas in May 2006), SES -
           EUR 74 million, and SE -EUR 395 million (withdrawals from Brazil
           and Argentina);

    (*) effects of exchange rate fluctuations: -EUR 430 million, essentially
        on the US dollar.

    Contribution to Revenues by Business Line

    In EUR millions       December 31  December 31        Gross      Organic
                                 2007         2006       Change     Growth(1)
    SUEZ Energy
    Europe(2)                  17,610       15,971       +10.3%        +5.8%
    SUEZ Energy
    International(2)            6,577        6,242        +5.4%       +11.2%
    SUEZ Energy Services       11,266       10,637        +5.9%        +5.3%
    SUEZ Environment           12,022       11,439        +5.1%        +5.1%

    GROUP TOTAL                47,475       44,289        +7.2%        +6.2%

    (1) See the table showing comparable data on Page 5.
    (2) Total sales from the natural gas and electricity segment (constituted
        by SUEZ Energy Europe and SUEZ Energy International) come to
        +EUR 24,188 million, with a rate of organic growth of +7.3%.

    SUEZ Energy Europe

    In EUR millions       December 31  December 31        Gross      Organic
                                 2007         2006       Change       Growth

    Revenues                   17,610       15,971       +10.3%        +5.8%
    Change excluding
     climate effect                                                    +7.3%

    The activities of SUEZ Energy Europe posted a total increase of +10.3%
(+EUR 1,639 million) as of December 31, 2007. On a comparable basis, in
particular excluding the effect of gas prices, revenues showed organic growth
of +5.8%.

    -   Electricity

    Electricity sales volumes rose to 167.5 TWh, or +EUR 11.4 billion, at the
end of December 2007, which translates to an organic growth of +12.0%. The
rise in electricity sales was due to the price dynamic in Europe since mid-
2005 and to increased volumes:

    -   In Belgium, growth in total revenue reflected price rises on the
        electricity market, which were influenced significantly by increases
        in fossil fuel prices, recognizing however that the selling prices to
        residential customers were not revised. Electricity sales volumes
        decreased slightly (-1.1 TWh, or -1.5%, to 72.3 TWh) due to the
        effect of mild weather in early 2007, to the full opening of
        residential markets and to a decrease in wholesale sales.

    -   In the Netherlands, revenues increased overall by a factor of +10.6%,
        thanks to the triple impact of the consolidation of Rendo and Cogas
        in October 2006, the energy price evolution and improved sales in
        this market.

    -   Electricity sales volumes outside Benelux grew by +21.1% (growth
        change) and now represent 41% of European electricity sales. Revenue
        growth benefited from the full consolidation of Compagnie Nationale
        du Rhone as well as power plant start-ups in Spain (2006) and in
        Portugal and Italy (2007). Commercial successes were registered
        especially in Germany, while changed contract models in Central
        Europe benefited from favorable pricing conditions.

    -   Natural gas

    The drop in volumes of natural gas sold by Electrabel (-6.8%) is
attributable primarily to the impact of unfavorable weather at the beginning
of 2007 on its sales to residential customers in Benelux. Apart from the
climate effect, organic growth was positive at +3.4% following noteworthy
commercial successes in the Netherlands.
    Distrigas, which also was vulnerable to the effects of weather, registered
a decrease in organic results (-EUR 97 million, or -4.1%) caused by reduced
sales volumes in Belgium and fewer opportunities for arbitrage. Outside
Belgium, Distrigas is successfully pursuing its growth strategy in the
industrial customer segment, especially in the Netherlands and Germany. LNG
activity expanded, with the sale of 4 shipments as of December 31, 2007.

    -   Other activities

    The decrease in revenues recorded for Other Activities (-EUR 136 million)
was due mostly to the departure of companies from the group structure in the
Services sector.

    SUEZ Energy International

    In EUR millions       December 31  December 31        Gross      Organic
                                 2007         2006       Change       Growth

    Revenues                    6,577        6,242        +5.4%       +11.2%

    Sales of SUEZ Energy International rose by +11.2% (or +EUR 654 million) in
terms of organic growth. This increase resulted from a dynamic business
climate in all of SEI's development zones thanks to healthy growth in energy
demand and to price increases. The effects of structural changes in the Group
(-EUR 147 million) and fluctuating exchange rates (-EUR 353 million)
negatively impacted total growth, which still reached +5.4%. More
specifically, organic growth in revenues came from:

    -   North America (+EUR 247 million), thanks primarily to the commercial
        successes of SERNA (SUEZ Energy Resources North America, which
        supplies electricity to commercial and industrial consumers in the
        U.S.) and to expanded activity among "merchant" power plants
        experiencing increased production and prices simultaneously.

    -   Asia/Middle East (+EUR 96 million), as a result of Group development
        in the Gulf States (+EUR 72 million) and increased sales in Thailand
        (+EUR 11 million) and Turkey (+EUR 14 million).

    -   Latin America (+EUR 257 million), where higher electricity sales in
        Brazil (+EUR 129 million), Peru (+EUR 57 million) and Chile
        (+EUR 65 million) are explained by price rises as well as increased
        sales volumes.

    -   Liquid natural gas activities (+EUR 54 million), thanks to ongoing
        optimization of this business from London.

    SUEZ Energy Services

    In EUR millions       December 31  December 31        Gross      Organic
                                 2007         2006       Change       Growth

    Revenues                   11,266       10,637        +5.9%        +5.3%
    Change excluding
     climate effect                                                    +6.4%

    Revenues of SUEZ Energy Services registered organic growth of +5.3% (or
+EUR 559 million).

    -   In France, the installation and maintenance businesses continued
        their vigorous growth (+7.7%, or +EUR 241 million), benefiting from
        all companies' success in this category (Ineo, ENDEL, AXIMA, Seitha).
        Improved performance in the 4th Quarter enabled the Services business
        (Elyo France) to maintain revenues at the 2006 level. Excluding the
        climate effect, their organic growth was +4.3%.

    -   In Belgium, organic growth continued and reached +9.0%
        (EUR 127 million) driven mainly by improved international results
        from Fabricom (increased Oil & Gas business on the North Sea) and by
        the overall performance of AXIMA Services.
    -   The success registered by Tractebel Engineering (+11%,
        +EUR 32 million) resulted not only from the solid numbers posted by
        its Energy and Infrastructure divisions but also from a non-recurring
        event for +EUR 95 million (the finalization of the agreement on the
        Snohvit construction site).

    -   Outside France and Benelux, the business posted organic growth of +6%
        (+EUR 137 million), experiencing increases in the U.K. and Spain as
        well as improved results among electricity and natural gas
        subsidiaries.

    SUEZ Environment

    In EUR millions       December 31  December 31        Gross      Organic
                                 2007         2006       Change       Growth

    Revenues                   12,022       11,439        +5.1%        +5.1%
    Water Europe                3,897        3,812        +2.2%        +5.3%
    Waste Europe                5,508        4,903       +12.4%        +5.3%
    International and
     Others                     2,617        2,724        -3.9%        +4.4%

    With its 2007 revenues exceeding EUR 12 billion, SUEZ Environment enjoyed
organic growth at the rate of +5.1% (+EUR 557), which is consistent with its
goals for 2007-2009. This progress came from its numerous business successes
and dynamic external expansion. Total growth reached +5.1% (+EUR 583 million).

    -   Water Europe experienced sustained organic growth of +5.3%
        (+EUR 190 million) enabled mostly by Agbar (+8.2%, +EUR 127 million)
        and by Water in France (+3.1%, +EUR 63 million) despite summertime
        weather that adversely affected water distribution activities.

    -   Waste Europe also registered a significant organic growth rate of
        +5.3% (+EUR 259 million) resulting from strong increases in the U.K.
        (+11.6%, +EUR 102 million) which were driven principally by the start
        of Private Finance Initiative (PFI)-type contracts and by a healthy
        level of business activity in France (+4.1%, +EUR 101 million),
        particularly in the waste treatment sectors.

    -   International activities showed robust organic growth (+4.4%,
        +EUR 108 million) arising from new water and waste contracts in China
        (+28%), tariff adjustments obtained for regulated activities in the
        North American water business (+12.8%) and an expanded waste business
        in Australia (+14%), reduced slightly by the drop in Engineering
        activity (-4.3 %) which is, by definition, more volatile and
        registered a particularly steady performance in 2006. Nevertheless,
        Degremont enjoyed significant commercial success at the end of 2007,
        thus favorably impacting its performance in 2008 (contracts in Palm
        Jumeirah, Cairo, etc.).

    Revenue Breakdown by Geographic Area

    In EUR millions    December 31     %    December 31     %         Change
                              2007                 2006            2007/2006

    France                11,932.5    25.1%    10,808.9    24.4%       10.4%
    Belgium               11,758.8    24.8%    11,217.5    25.3%        4.8%
    Subtotal
     France-Belgium       23,691.2    49.9%    22,026.4    49.7%        7.6%

    Other European Union  13,467.4    28.4%    12,341.1    27.9%        9.1%
    Other European
     countries               756.5     1.6%       706.7     1.6%        7.0%
    Subtotal Europe       37,915.1    79.9%    35,074.2    79.2%        8.1%
    North America          4,189.3     8.8%     4,184.4     9.4%        0.1%
    Subtotal Europe and
     North America        42,104.4    88.7%    39,258.6    88.6%        7.2%

    Asia, Middle East
     and Oceania           2,445.7     5.2%     2,496.5     5.6%       -2.0%
    South America          2,205.8     4.6%     1,862.7     4.2%       18.4%
    Africa                   719.4     1.5%       671.3     1.5%        7.2%
    TOTAL                 47,475.4   100.0%    44,289.2   100.0%        7.2%

    (Change in gross values)

    Nota Bene: Sales change in Asia/Middle East is impacted by the disposal of
Hanjin City Gas in 2006. Moreover, 2006 data have been corrected and included
Baymina (Turkey) in Asia/Middle East and Oceania (previously in "Other
European countries").

    Breakdown of Organic Growth on a Comparable Basis

    Organic growth in revenues is analyzed on a comparable basis

    In EUR millions                    December 31   December 31     Organic
                                              2007          2006      Growth

    Revenues                                47,475        44,289
    Changes In Group Structure(1)           -1,778          -966
    Exchange Rate Fluctuations                              -430
    Natural Gas Price Fluctuations                           118
    Comparable Data
                                            45,697        43,011        6.2%

    (1) Accounting respectively for 2007 revenues from newly-consolidated
        companies and 2006 revenues from disposals.

    Breakdown of Data Quarter by Quarter

    REVENUES            March 31    June 30  September   December  Cumulative
                                                    30         31   Revenues
    (in EUR millions)       2007       2007       2007       2007

    SUEZ Energy
    Europe                 5,013      3,766      3,598      5,234     17,610
    SUEZ Energy
    International          1,586      1,622      1,774      1,596      6,577
    SUEZ Energy
    Services               2,837      2,712      2,530      3,187     11,266
    SUEZ Environment       2,768      3,002      3,024      3,229     12,022
    TOTAL REVENUES        12,204     11,102     10,925     13,245     47,475


    REVENUES            March 31    June 30  September   December  Cumulative
                                                    30         31   Revenues
    (in EUR millions)       2007       2007       2007       2007

    SUEZ Energy
    Europe                 4,730      3,661      3,243      4,337     15,971
    SUEZ Energy            1,599      1,459      1,653      1,531      6,242
    International
    SUEZ Energy
    Services               2,778      2,584      2,348      2,927     10,637
    SUEZ Environment       2,698      2,845      2,812      3,084     11,439
    TOTAL REVENUES        11,804     10,549     10,057     11,879     44,289
    

    SUEZ, an international industrial and services Group, designs sustainable
and innovative solutions in the management of public utilities as a partner of
public authorities, businesses and individuals. The Group aims to answer
essential needs in electricity, natural gas, energy services, water and waste
management. SUEZ is listed on the Brussels, Luxembourg, Paris and Zurich stock
exchanges and is represented in the major international indices: CAC 40, BEL
20, DJ STOXX 50, DJ EURO STOXX 50, Euronext 100, FTSE Eurotop 100, MSCI Europe
and ASPI Eurozone

    Important Information

    This communication does not constitute an offer to purchase or exchange
or the solicitation of an offer to sell or exchange any securities of Suez or
Gaz de France, nor shall there be any purchase, sale or exchange of securities
in any jurisdiction (including the United States, Germany, Italy and Japan) in
which such offer, solicitation, purchase or sale or exchange would be unlawful
prior to the registration or qualification under the laws of such
jurisdiction. The distribution of this communication may, in some countries,
be restricted by law or regulation. Accordingly, persons who come into
possession of this document should inform themselves of and observe these
restrictions. To the fullest extent permitted by applicable law, Suez
disclaims any responsibility or liability for the violation of such
restrictions by any person.

    Forward-Looking Statements

    This communication contains forward-looking information and statements.
These statements include financial projections, synergies, cost-savings and
estimates and their underlying assumptions, statements regarding plans,
objectives, savings, expectations and benefits from the transaction and
expectations with respect to future operations, products and services, and
statements regarding future performance. Although the managements of Suez
believes that the expectations reflected in such forward-looking statements
are reasonable, investors and holders of Suez ordinary shares are cautioned
that forward-looking information and statements are not guarantees of future
performances and are subject to various risks and uncertainties, many of which
are difficult to predict and generally beyond the control of Suez, that could
cause actual results, developments, synergies, savings and benefits from the
transaction to differ materially from those expressed in, or implied or
projected by, the forward-looking information and statements. These risks and
uncertainties include those discussed or identified in the public filings made
by Suez with the AMF, including those listed under "Facteurs de Risques" in
the Document de Reference filed by Suez on April 4, 2007 (under no:
D.07-0272). Except as required by applicable law, Suez does not undertake any
obligation to update any forward-looking information or statements.

    This release is also available on the Internet: http://www.suez.com





For further information:

For further information: Press contacts: +33-1-4006-6651, 6668; Analyst
contacts: +33-1-4006-531, 6629; Belgium: +32-2-510-76-70

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