Business Wire

ABB Completes EPC Business Model Change

Jaa

ABB today announced actions across three divisions to complete the business model change for engineering, procurement and construction (EPC) as it ends its transition year 2017. These decisions are fully in line with ABB’s strategy to shift the center of gravity towards strengthened competitiveness, higher growth segments and lower risk.

In the Power Grids division, ABB has signed an agreement to form a joint venture with SNC-Lavalin for electrical substation EPC projects; SNC-Lavalin will have majority and controlling interest. The new entity will leverage ABB’s power technology leadership and SNC-Lavalin project expertise to capture opportunities for profitable growth. These actions complement the ongoing ”Power Up” program; as part of this program, ABB started to shift its focus towards solutions and service-based customer offerings.

In the Industrial Automation division, ABB has previously announced the oil & gas EPC joint venture with Arkad Engineering and Construction Ltd., a fully integrated EPC contractor for the energy sector based in Saudi Arabia; the closing of the transaction is now expected by December 31, 2017.

ABB’s current oil & gas EPC business will be transferred into the new JV company, in which, Arkad will have majority and controlling interest. The new JV company, Arkad-ABB S.p.A., will provide the full range of integrated EPC services for oil & gas plants. It will build on more than 50 years of experience in oil & gas EPC and the successful delivery of more than 300 projects globally.

In the Robotics and Motion division, ABB has decided to wind down its turnkey full train retrofit business, beyond meeting current contractual commitments. Robotics and Motion will continue its strong role as innovation partner for the rail industry.

“We are taking decisive actions to complete our EPC business model change as we end our transition year. These actions are in line with our strategy to shift our center of gravity towards strengthened competitiveness, higher growth segments and lower risk,” said ABB CFO Timo Ihamuotila “We will book the related charges in Q4 2017 and report the divisions starting in 2018 excluding these legacy businesses.”

The fourth quarter 2017 results of Power Grids and Robotics and Motion are each expected to be impacted by approximately $75 million on operational EBITA. The transfer of the turnkey oil & gas EPC business into the JV with Arkad is expected to result in a non-operational pre-tax charge to net income of approximately $75 million.

ABB will report these businesses as a non-core operating unit within Corporate & Other. This unit is expected to retain and execute parts of the existing legacy backlog until the transition out of these businesses is complete. The new unit will report to ABB’s CFO Timo Ihamuotila effective January 1, 2018. Group and divisional proforma data for 2016 and 2017 year-to-date excluding the transferred activities will be made available December 21, 2017 on our website www.abb.com/investorrelations.

ABB (ABBN: SIX Swiss Ex) is a pioneering technology leader in electrification products, robotics and motion, industrial automation and power grids, serving customers in utilities, industry and transport & infrastructure globally. Continuing a history of innovation spanning more than 125-years, ABB today is writing the future of industrial digitalization and driving the Energy and Fourth Industrial Revolutions. ABB operates in more than 100 countries with about 136,000 employees. www.abb.com

Important notice about forward-looking information
This press release includes forward-looking information and statements as well as other statements concerning the outlook for our business. These statements are based on current expectations, estimates and projections about the factors that may affect our future performance, including global economic conditions, the economic conditions of the regions and industries that are major markets for ABB Ltd. These expectations, estimates and projections are generally identifiable by statements containing words such as “expects,” “believes,” “estimates,” “targets,” “plans,” “is likely”, “intends” or similar expressions. However, there are many risks and uncertainties, many of which are beyond our control, that could cause our actual results to differ materially from the forward-looking information and statements made in this press release and which could affect our ability to achieve any or all of our stated targets. The important factors that could cause such differences include, among others, business risks associated with the volatile global economic environment and political conditions, costs associated with compliance activities, market acceptance of new products and services, changes in governmental regulations and currency exchange rates and such other factors as may be discussed from time to time in ABB Ltd’s filings with the U.S. Securities and Exchange Commission, including its Annual Reports on Form 20-F. Although ABB Ltd believes that its expectations reflected in any such forward-looking statement are based upon reasonable assumptions, it can give no assurance that those expectations will be achieved.

This is information that ABB Ltd is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out below, at 6:45 am CET, on December 20, 2017.

Contact information

ABB Ltd
Media Relations
Saswato Das, Head of External Communications
+41 43 317 71 11
media.relations@ch.abb.com
or
Investor Relations
Jessica Mitchell, Head of Investor Relations
+41 43 317 71 11
investor.relations@ch.abb.com

Tietoja julkaisijasta

For more than 50 years, Business Wire has been the global leader in press release distribution and regulatory disclosure.

Tilaa tiedotteet sähköpostiisi

Haluatko tietää asioista ensimmäisten joukossa? Kun tilaat mediatiedotteemme, saat ne sähköpostiisi välittömästi julkaisuhetkellä. Tilauksen voit halutessasi perua milloin tahansa.

Lue lisää julkaisijalta Business Wire

Smart Link Accelerates Digital Service Expansion with Avaya Cloud Contact Center Solutions17.10.2018 15:37Tiedote

Smart Link, a subsidiary of Al Khaleej for Training and Education and a leading Saudi-based Business Process Outsourcing (BPO) company, has teamed up with Avaya Holdings Corp. (NYSE:AVYA) to accelerate Smart Link’s expansion and the diversification of its digital services portfolio. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20181017005478/en/ Avaya signs a Memorandum of Understanding with Smart Link during GITEX Technology Week 2018 (Photo: Business Wire) The two companies signed a Memorandum of Understanding (MoU) during GITEX Technology Week with a focus on digital and cloud-based solutions that will enable Smart Link to have greater agility and flexibility in meeting its customers’ demands for digital services. In alignment with Saudi Vision 2030, Smart Link is digitalizing and automating all possible duties to increase its human value while delivering cutting-edge communication solutions to connect government and priv

Visa Unveils New Partners on Tokenization to Help Increase Payment Security and Reduce Effects of Data Breaches17.10.2018 15:00Tiedote

Visa Inc. (NYSE:V) today announced the commercial expansion of the Visa Token Service for credential-on-file (COF) token requestors, marking a major milestone towards further securing consumer payments in the digital channel. With this expansion, acquirer gateway and technology partners Adyen, AsiaPay, Braintree, Checkout.com, Cherri Tech, CyberSource, Elavon, Ezidebit, eWAY, Fit-Pay, Giesecke & Devrient, PayPal, Payscout, Rambus, SafeCharge, SecureCo, Square, Stripe, Worldpay and YellowPepper are or will soon be able to tokenize credential-on-file digital payments on behalf of their merchant and payment clients. Built on top of the EMVCo Payment Tokenization Standard, the Visa Token Service offers another layer of security by replacing sensitive cardholder information, such as personal account numbers and expiration dates, with a unique digital identifier (a “token”) that can be used for payment without exposing a cardholder’s more sensitive account information. In addition to enhanci

Moody’s Names Derek Vadala as Global Head of Cyber Risk for MIS17.10.2018 14:00Tiedote

Moody’s Corporation (NYSE:MCO) today announced that it has named Derek Vadala as Global Head of Cyber Risk for Moody’s Investors Service (MIS). In this newly-established role, Mr. Vadala will develop MIS’s capabilities for evaluating cyber risk, including a framework for the consideration of cybersecurity risk in credit analysis, and will spearhead innovative research, analytics and market outreach in this area. “As with environmental, social and governance risks, we see cyber risk as an area of increasing relevance to issuers, investors, counterparties and government authorities as it impacts operational and credit risk. Moody’s has a unique perspective that can help enhance market understanding of the ways credit and cyber risk intersect,” said Rob Fauber, President of Moody’s Investors Service. “Derek has a wealth of direct leadership experience in cyber and information security, and we are fortunate to have him lead the development of our cyber risk analysis capabilities.” Mr. Vada

Nadia Murad to Speak at Sharjah Conference Aimed at Boosting Opportunities for MENA’s Youth17.10.2018 13:29Tiedote

In the run up to one of MENA region’s premier conferences dedicated to addressing development challenges and humanitarian issues, the third edition of ‘Investing in the Future’ Conference (IIFMENA) slated for October 24-25 in Sharjah, UAE, will be seeing participation of Iraqi Human rights activist and 2018 Nobel peace prize winner, Nadia Murad. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20181017005371/en/ Nadia Murad (Archive) With key partners UNHCR, UNICEF, UNDP and NAMA-UN Women, IIFMENA 2018 will shed the spotlight on ways governments, civil society, international organisations, academia, private sector can collaborate to involve the region’s youth more effectively in consultative, policy- and decision-making processes, enabling a more inclusive and participatory approach to tackling challenges and offering practical, scalable solutions. It is the first time since the 25-year-old Iraqi human rights activist has receiv

Bentley Systems Releases Open-Source Library: iModel.js17.10.2018 11:58Tiedote

Bentley Systems, Incorporated, the leading global provider of comprehensive software solutions for advancing the design, construction, and operations of infrastructure, today announced the initial release of its iModel.js library, an open-source initiative to improve the accessibility, for both visualization and analytical visibility, of infrastructure digital twins. iModel.js can be used by developers and IT professionals to quickly and easily create immersive applications that connect their infrastructure digital twins with the rest of their digital world. iModel.js is the cornerstone of Bentley’s just-announced iTwin™ Services that combine iModelHub, reality modeling, and web-enabling software technologies within a Connected Data Environment (CDE) for infrastructure engineering. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20181017005008/en/ Bentley Systems Releases Open-Source Library: iModel.js.(Photo: Business Wire) Be

WHOOP, the Human Performance Company, Launches in Europe17.10.2018 10:00Tiedote

WHOOP, the human performance company, is now available to European consumers for the first time. Launched in the US in 2014, WHOOP is now shipping to countries throughout Europe via the WHOOP website. Initial countries include Belgium, Denmark, Finland, France, Germany, Ireland, Italy, the Netherlands, Spain, Sweden and the United Kingdom. Many pro athletes and teams across Europe are already using WHOOP, which was first made available to consumers in the US in 2016. WHOOP was co-founded in 2012 by former Harvard students Will Ahmed, John Capodilupo and Aurelian Nicolae. As captain of Harvard’s D1 squash team, Ahmed, the company's CEO, found that he and his teammates frequently over trained, misinterpreted fitness peaks, and underestimated recovery and sleep, often leading to injury. He became inspired by a simple idea: Humans, especially athletes, could optimize their daily performance if they had a systematic approach to understanding their bodies. The WHOOP Strap 2.0 is a wearable d

Uutishuoneessa voit lukea tiedotteitamme ja muuta julkaisemaamme materiaalia. Löydät sieltä niin yhteyshenkilöidemme tiedot kuin vapaasti julkaistavissa olevia kuvia ja videoita. Uutishuoneessa voit nähdä myös sosiaalisen median sisältöjä. Kaikki STT Infossa julkaistu materiaali on vapaasti median käytettävissä.

Tutustu uutishuoneeseemme