Lafarge Is Now the Leader in Cement Production with Acquisition of Blue Circle Cement

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The following is an advisory by Industrialinfo.com (Industrial Information Resources, Inc.; Houston, Texas). Lafarge SA (NYSE: LAF) (Paris, France) has finalized the acquisition of Blue Circle Industries, the world's sixth largest producer of cement. The purchase increases Lafarge's cement capacity by 40% and makes it the world's number one cement producer, eclipsing Holcim Limited (SWX, HOL) (Jona, Switzerland), which had held the number one position for some time. As a result, Lafarge will operate thirteen US cement plants capable of producing over 15 million tons of cement annually. Current plant expansions will boost plant capacity up to 16.3 million tons annually in 2002. Blue Circle's stock has been de-listed and the two companies will be fully integrated by the end of the year. Two former Blue Circle North America (Marietta, Ga.) plants in Ontario and a grinding plant located in Detroit have been sold to Votorantim (Sao Paulo, Brazil).

The acquisition will bring five US cement manufacturing plants and distribution terminals, formerly operated by Blue Circle, into the Lafarge fold. The plants located in Alabama, Georgia, New York, Oklahoma, and South Carolina represent 5.57 million tons per year of cement making capacity. An expansion at one of the plants will bring total capacity up to 6.3 million tons per year by 2002. Lafarge already operates eight cement plants and two grinding facilities representing 9.5 million tons per year and is replacing its plant at Sugar Creek, Missouri, which will bring cement capacity up to over 10 million tons per year by 2002.

With the acquisition of Blue Circle Industries, Lafarge Corporation is the world's leading producer of cement, and holds leading positions in aggregates, concrete, gypsum and roofing with 85,000 employees in 75 countries and $13.7 billion in sales annually.