CEMEX Completes Sale of U.S. Assets Required By DOJ.* Negotiations Regarding Other Assets other assets Assets of relatively small value. For financial reporting purposes, firms frequently combine small assets into a single category rather than listing each item separately. Terminated MONTERREY, Mexico -- CEMEX CEMEX Cementos Mexicanos , S.A.B. de C.V. (NYSE NYSE See: New York Stock Exchange : CX) announced today that it has completed the sale of its operations in Arizona and Florida, as required by the U.S. Department of Justice in association with the Rinker Group The Rinker Group is an Australian-headquartered multinational building products company. It is listed on both the Australian Stock Exchange and the New York Stock Exchange. Limited acquisition, to CRH plc
CRH plc, ISEQ: CRH, LSE: CRH, NYSE: CRHCY, FWB: CRH, is an Irish building material group, formerly called Cement-Roadstone Holdings plc. , the Ireland-based international building materials Building materials used in the construction industry to create . These categories of materials and products are used by and construction project managers to specify the materials and methods used for . group. CEMEX acquired Rinker in July 2007. As a condition of U.S. regulatory approval, the U.S. Department of Justice required CEMEX to sell 39 ready-mix concrete Ready-mix concrete is a type of concrete that is manufactured in a factory according to a set recipe, and then delivered to a worksite, often by truck. This results in a precise mixture, allowing specialty concrete mixtures to be developed and implemented on construction sites. and aggregate facilities in Arizona and Florida. The value of the transaction is approximately US$250 million. CEMEX will use the proceeds from the sale of these assets to reduce debt. The Florida operations being divested comprise 26 ready-mix concrete plants and 6 block plants. The ready-mix concrete business operates in five market areas - Tampa, Southwest Florida Southwest Florida is a region of Florida located along its gulf coast, south of the Tampa Bay area, west of Lake Okeechobee and mostly north of the Everglades. It consists of five coastal counties from Manatee County south to Collier County, although it sometimes is considered to , Orlando, Jacksonville and the Florida Panhandle The Florida Panhandle is the region of the state of Florida which includes the westernmost 16 counties in the state. It is a narrow strip lying between Alabama and Georgia to the north and the Gulf of Mexico to the south. - while the block business operates primarily in the Tampa/St. Petersburg and Fort Myers/Naples areas. In Arizona, the operations comprise 2 quarries and 5 ready-mix concrete locations, principally in the Tucson area. CEMEX and CRH CRH corticotropin-releasing hormone. CRH abbr. corticotropin-releasing hormone CRH corticotropin releasing hormone. terminated discussions relating to the potential sale of additional operations due to disagreement over the value of the assets. CEMEX announced on November 13, 2007, that it is in negotiations with Ready Mix USA, a private ready-mix concrete company with operations in the Southeastern United States, to expand the scope of their ready-mix joint venture formed in July 2005. CEMEX intends to contribute assets valued at approximately $150 million to the joint venture and intends to sell additional assets to the joint venture for approximately $227 million in cash. As part of the transaction, Ready Mix USA intends to make a $150 million cash contribution to the joint venture. Ready Mix USA will manage all the newly acquired assets. Following the transaction, the joint venture will continue to be owned 50.01% by Ready Mix USA and 49.99% by CEMEX. CEMEX is a growing global building materials company that provides high quality products and reliable service to customers and communities in more than 50 countries throughout the world. CEMEX has a rich history of improving the well-being of those it serves through its efforts to pursue innovative industry solutions and efficiency advancements and to promote a sustainable future. For more information, visit www.cemex.com. This press release contains forward-looking statements and information that are necessarily subject to risks, uncertainties and assumptions. Many factors could cause the actual results, performance or achievements of CEMEX to be materially different from those expressed or implied in this release, including, among others, changes in general economic, political, governmental and business conditions globally and in the countries in which CEMEX does business, changes in interest rates, changes in inflation rates, changes in exchange rates, the level of construction generally, changes in cement demand and prices, changes in raw material and energy prices, weather conditions, changes in business strategy and various other factors. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described herein. CEMEX assumes no obligation to update or correct the information contained in this press release. |
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