32
2
Big is not necessarily beautiful, Companies receive the valuation they deserve
Exxon
BP
Farstad
NOK 100 invested in Farstad has grown 37 times
BP & Exxon have grown 7 times
NOK (indexed and dividend adjusted)
Supply companies have outperformed the general index… NOK 100 invested in the OSEBX in the year 2000 would give you approx. NOK 200 now… vs. NOK 450 in DOF
3
NOK (indexed and dividend adjusted)
OSEBX (~200 NOK)
DOF (~450 NOK)
FAR
SOFF
Norwegian companies outperformed «dividend oriented» US peers Norwegian supply vessel companies pay less dividends… but total returns are better (that said, dividends are a compensation for low liquidity in shares and a tangible proof of earnings)
4
NOK (indexed and dividend adjusted)
TDW & GLF (~80-150 NOK)
DOF (~450 NOK)
FAR
Profitability and pricing
The supply/OSV companies have delivered above average returns over the last 20 years
The current pricing reflects earnings below historical average, and significantly below rig companies compared to historical returns.
P/B at 0.81
Strong fundamentals for the industry should be reflected going forward
A return to historical P/B 1.2 will give an average uplift in shareprices for the industry of 50%
Even at bookvalue the shares are still trading well below net asset values
5
-0.50
0.00
0.50
1.00
1.50
2.00
2.50
3.00
3.50
(5.0)
0.0
5.0
10.0
15.0
20.0
25.0
30.0
35.0
19
90
19
91
19
92
19
93
19
94
19
95
19
96
19
97
19
98
19
99
20
00
20
01
20
02
20
03
20
04
20
05
20
06
20
07
20
08
20
09
20
10
20
11
20
12
Ave
rag
e
P/B
Median RoE P/B
RoE %
Oslo listed supply companies
-3.00
-2.00
-1.00
0.00
1.00
2.00
3.00
4.00
5.00
6.00
(30.0)
(20.0)
(10.0)
0.0
10.0
20.0
30.0
40.0
50.0
60.0P/B
Median RoE P/B
RoE %
Oslo listed rig companies
6
High-end AHTS Market
Few players, low order book, high returns
0
20
40
60
80
100
120
140
160
180
Jan 2001 Jan 2003 Jan 2005 Jan 2007 Jan 2009 Jan 2011
AHTS 15-20k bhp AHTS > 20k bhp
No. vessels
7
High-end AHTS is a proven growth market
Source: Pareto
High-end AHTS (>15k bhp) term demand
20%+ CAGR
11% CAGR
13% CAGR
8
Rig count not the major driver
Source: Pareto
High-end AHTS (>15k bhp) term demand and no. rigs working (excl. UDW)
0
20
40
60
80
100
120
140
160
180
0
200
400
600
800
Jan 01 Jan 03 Jan 05 Jan 07 Jan 09 Jan 11AHTS > 15,000bhp Rigs working (excl. UDW)
No. rigs working No. HE AHTS working
9
Remoteness and harsh environment drives AHTS demand…
Source: Pareto
0
0.7
1.752 2
2.9
0
0.5
1
1.5
2
2.5
3
3.5
Deepwaterrig @ 500
feet (outsideNorway)
North Sea(moored)
Iceberg areas(DP rig)
Deepwaterrig @ 1,500
feet (outsideNorway)
OutsideNorth Sea(moored)
Iceberg areas(moored)
AHTS > 15,000bhp annual need per rig
Deeper drilling
More remote drilling
10
Illustrated by an internationalisation of the fleet
Source: Pareto
Fleet development: NW Europe vs. rest of world
30 26 31 33 33 3242 41 43 47
55 53
30 3348
56 6271 71
8799
120 127
181
0
20
40
60
80
100
120
140
160
180
200
NW Europe Rest of World
AHTS > 15,000bhp (operating + spot)
11
High-end AHTS market remains dominated by Norwegian players
Source: Pareto
16
10
8 8
65
4 4
2 2
0
2
4
6
8
10
12
14
16
18
Mae
rsk
DO
F
Fars
tad
Sie
m
Sols
tad
Edis
on
Tid
ewat
er
Oly
mp
ic
Bo
urb
on
Hav
ila
AHTS > 20,000bhp
12
2016e: Demand up 50-100% shortage of 15-50 vessels
Source: Pareto
AHTS > 20k bhp demand analysis AHTS > 20k bhp supply
922 6
79
60
0
20
40
60
80
100
120
140
Total supplyYE'14e
Unlikely order Order book Excessavailability
Currentdemand
Demand AHTS > 20k (no. vessels)
35.551.3
67.1
21
60
95.5
111.3
127.1
0
20
40
60
80
100
120
140
2005 Current 2016 low 2016 base 2016 high
Base demand Demand growth
Demand AHTS > 20k (no. vessels)
13
High-end Subsea Market
Strong growth, low order book
14
The growth in the ultra-deepwater rig fleet indicates further growth in (deepwater) subsea activity…
Source: Pareto Research, ODS-Petrodata
Despite rapid growth in recent years, the UDW fleet is set to increase more than 60% over the next few years
Exploration efforts continue to increase, while development drilling is also increasing demand
After almost no new awards in 2009, 2010 saw a rebound in FPSo projects
These will be coming onstream over the next few years and more are on the way
… and FPSO’s are increasing in number once again WW UDW fleet is increasing rapidly…
0
50
100
150
200
250
0
50
100
150
200
250
1990
1992
1994
1996
1998
2000
2002
2004
2006
2008
2010
2012e
2014e
2016e
Fleet development FPSOs
Idle Units re-employed
Producing FPSOs
Demand Base Case
Demand High Case
Demand Low CaseFPSO Supply/Demand
1824 25 25 25 28 28 29
36
56
81
110124
148157
164
0
20
40
60
80
100
120
140
160
180
2000 2003 2006 2009 2012E 2015E
No. UDW units
15
…compared to the growth in subsea vessels, for which there seems to be a shortage underway
UDW fleet growth outpacing subsea vessel growth despite clear link
Funding commodity UDW rigs easier than subsea vessels
Shortage of high-end subsea assets evolving
DW subsea trees vs. UDW and Subsea fleet
Source: Quest; Technip; Pareto
0
20
40
60
80
100
120
140
160
180
0
50
100
150
200
250
300
20
00
20
01
20
02
20
03
20
04
20
05
20
06
20
07
20
08
20
09
20
10
20
11
e
20
12
e
20
13
e
20
14
e
20
15
e
DW Subsea tree awards#, high-end subsea vessels & UDW rigs
4,000ft+ trees (lhs) UDW fleet (rhs) >120m Subsea vessels (rhs)
Jan-12 Jan-13 Jan-14 Jan-15 Jan-16
Skandi Acergy
North Ocean 102
Normand Oceanic
Skandi Niteroi
North Sea Giant
Skandi Santos
Normand Installer
Normand Seven
Far Samson
Normand Pacific
Cecon III (NB)
Skandi Vitoria
Skandi Seven
CSV Southern Ocean
SIOFF NB#2
BOA Deep C
Cecon II (NB)
SIOFF NB#1
Normand Cutter
Skandi Bergen (NB)
Grand Canyon
Cecon I (NB)
Skandi Constructor
Contract/under construction Option
16
High-end North Sea subsea tonnage – limited availability next few years
Source: Pareto
North Sea spec Subsea vessels
Likely for Petrobras
Extremely likely to be extended with SUBC
Owned 50/50 with SBMO
Owned 50/50 with SUBC
Likely for Petrobras
Very likely extension with McDermott
Looking at the most high-end subsea vessels, longer than 120 meters and with North Sea capabiltiies, there are only a handful available over the next coming years
Coupled with the expected growth in demand coming from new rigs and recent subsea contract awards, early available vessels such as Skandi Bergen and Skandi Seven are extremely likely to get employment
Some uncertainty regarding Cecon deliveries
17
High-end PSV market
Strong growth, stable earnings, large order book
0
50
100
150
200
250
Jan 2001 Jan 2003 Jan 2005 Jan 2007 Jan 2009 Jan 2011
No. vessels
18
A proven growth market
Source: Pareto
High-end PSV (>800m2) term demand
13% CAGR
19
Demand indicators booming
Source: Pareto
FPSO fleet development
E&P spending (general offshore activity indicator)
Floater fleet development
0
20
40
60
80
100
120
-30%
-20%
-10%
0%
10%
20%
30%
40%
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011e 2012e
USD/bbl
Upside Nominal spending growth (lhs) Average Brent (rhs)
Y/Y change
0
25
50
75
100
125
150
175
200
225
250
275
0
25
50
75
100
125
150
175
200
225
250
275
19
90
19
92
19
94
19
96
19
98
20
00
20
02
20
04
20
06
20
08
20
10
20
12e
20
14e
20
16e
20
18e
Fleet development FPSOs
Idle Units re-employed
Producing FPSOs
Demand Base Case
Demand High Case
Demand Low CaseFPSO Supply/Demand
0
50
100
150
200
250
300
350
400
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Midwater Deepwater UDW
No. rigs
Subsea tree awards
245
360
276232
364438 462 452 434
319373 350
618687
744
826
0
100
200
300
400
500
600
700
800
900
2000 2002 2004 2006 2008 2010 2012E 2014E
No. trees
Main driver
20
Attractive financing and low barriers to entry, have led to a boom
Source: Pareto *Delivery adjusted to reflect slippage (capacity assumed at peak rate).
PSV fleet development* High-end PSV ordering activity
0
5
10
15
20
25
30
35
40
45
123412341234123412341234123412341234123412341234
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011PSV > 1000m2 PSV 800 < 1000m2
No. vessels
-10%
0%
10%
20%
30%
40%
50%
0
50
100
150
200
250
300
350
400
450
500
19
90
19
92
19
94
19
96
19
98
20
00
20
02
20
04
20
06
20
08
20
10
20
12
E
20
14
E
No. vessels Fleet growth
21
Full utilization, but available low-end vessels cap upside
Source: Pareto
Low-end PSV utilization High-end PSV utilization
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
0
50
100
150
200
250
300
350
Jan 2005 Jan 2007 Jan 2009 Jan 2011Idle/spot/yard Operating Utilization
PSV > 3,500dwt Utilization
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
0
100
200
300
400
500
600
700
800
900
Jan 2005 Jan 2007 Jan 2009 Jan 2011Idle/spot/yard Operating Utilization
PSV < 3,500dwt Utilization
22
Norwegian players less dominant
Source: Pareto
72
24 23 2117 16 15 12 12 12
0
10
20
30
40
50
60
70
80
PSV > 800m2
23
Norwegian supply companies in 2012 and beyond
Continue to outperform
The fleets have developed
Status in the year 2000
24
Status early year 2012
1,700 vessels worldwide
~243 vessels in the North Sea (whereof approx. 130 on term contracts)
154 PSVs (>2’ dwt) + 23 newbuilds
Newbuilds: 9x in the US + 11x in the North Sea region + 3x in Brazil
157 AHTS (>10’ BHP) + 11 newbuilds
Newbuilds: 6x in the North Sea region + 4x in China + 1x in Arabia
2,700 vessels worldwide
~266 vessels in the North Sea (whereof approx. 125 on term contracts)
692 PSVs (>2’ dwt) + 255 newbuilds
Newbuilds: 55x in China + 52 in US + 44x in Norway + 13 in India + 33x in Brazil + 6x Singapore + 7x Malaysia + 10x Japan, + ….
469 AHTS (>10’ BHP) + 78 newbuilds
11x China + 4x USA + 2x Norway + 15x India + 4x Brazil + 15x Singapore, + …..
Massiv fleet growth since 2000 of about 12% p.a. globally
The growth is global – vessels will be built globally – specialization is key
Internationalisation
is increasing
competition in
lower end
segments
25
Fleet complexity has increased
Source: Farstad presentation at Pareto’s Offshore Conference 2000, DOF April 2012 Presentation
High-end in 2000 High-end in 2012
20
1716
1312 12
109 9
5 5 54 4 4 4
0
5
10
15
20
25
DO
F
Tech
nip
Mae
rsk
Saip
em
Sols
tad
Sub
sea
7
Sie
m
Fars
tad
J. R
ay
Edis
on
Alls
eas
Sap
ura
Cre
st
Tid
ewat
er
Bo
urb
on
Isla
nd
Off
sho
re
Oly
mp
ic
CSV > 120 meters AHTS > 20,000bhp
No. vessels
26
Leading high-end position has been maintained
Source: Pareto Research
High-end AHTS and CSV – top players
Norwegian companies control large parts of high end-market
Of the vessel owning companies, the Norwegian players dominate completely
This gives substantial market power
27
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V. 04.12
28
Disclaimers and disclosures
Sources This publication or report may be based on or contain information, such as opinions, recommendations, estimates, price targets and valuations which emanate from Pareto Securities Research’ analysts or representatives, publicly available information, information from other units or companies in the Group Companies, or other named sources. To the extent this publication or report is based on or contains information emanating from other sources (“Other Sources”) than Pareto Securities Research (“External Information”), Pareto Securities Research has deemed the Other Sources to be reliable but neither the companies in the Pareto Securities Group, others associated or affiliated with said companies nor any other person, guarantee the accuracy, adequacy or completeness of the External Information. Ratings Equity ratings: “Buy” Pareto Securities Research expects this financial instrument’s total return to exceed 10% over the next six months “Hold” Pareto Securities Research expects this financial instrument’s total return to be 0-10% over the next six months “Sell” Pareto Securities Research expects this financial instrument’s total return to be negative over the next six months Rating system used by Pareto Öhman AB prior to 16 September 2011: “Outperform” The stock is expected to outperform the return on Pareto Öhman’s Nordic sector universe in six to twelve months “Neutral” The stock is expected to perform in line with the return on Pareto Öhman’s Nordic sector universe in six to twelve months “Underperform” The stock is expected to underperform the return on Pareto Öhman’s Nordic sector universe in six to twelve months Credit ratings: AAA Best Quality AA+ / AA / AA- Strong ability for timely payments A+ / A / A- Somewhat more exposed for negative changes BBB+ / BBB / BBB- Adequate ability to meet payments. Some elements of protection. BB+ / BB / BB- Speculative risk. Future not well secured B+ / B / B- Timely payments at the moment, but very exposed to any negative changes CCC+ /CCC/ CCC- Default a likely option Limitation of liability Pareto Securities Group or other associated and affiliated companies assume no liability as regards to any investment, divestment or retention decision taken by the investor on the basis of this publication or report. In no event will entities of the Pareto Securities Group or other associated and affiliated companies be liable for direct, indirect or incidental, special or consequential damages resulting from the information in this publication or report. Neither the information nor any opinion which may be expressed herein constitutes a solicitation by Pareto Securities Research of purchase or sale of any securities nor does it constitute a solicitation to any person in any jurisdiction where solicitation would be unlawful. All information contained in this research report has been compiled from sources believed to be reliable. However, no representation or warranty, express or implied, is made with respect to the completeness or accuracy of its contents, and it is not to be relied upon as authoritative. Risk information The risk of investing in certain financial instruments, including those mentioned in this document, is generally high, as their market value is exposed to a lot of different factors such as the operational and financial conditions of the relevant company, growth prospects, change in interest rates, the economic and political environment, foreign exchange rates, shifts in market sentiments etc. Where an investment or security is denominated in a different currency to the investor’s currency of reference, changes in rates of exchange may have an adverse effect on the value, price or income of or from that investment to the investor. Past performance is not a guide to future performance. Estimates of future performance are based on assumptions that may not be realized. When investing in individual shares, the investor may lose all or part of the investments.
29
Disclaimers and disclosures
Conflicts of interest Companies in the Pareto Securities Group, affiliates or staff of companies in the Pareto Securities Group, may perform services for, solicit business from, make a market in, hold long or short positions in, or otherwise be interested in the investments (including derivatives) of any company mentioned in the publication or report. To limit possible conflicts of interest and counter the abuse of inside knowledge, the analysts of Pareto Securities Research are subject to internal rules on sound ethical conduct, the management of inside information, handling of unpublished research material, contact with other units of the Group Companies and personal account dealing. The internal rules have been prepared in accordance with applicable legislation and relevant industry standards. The object of the internal rules is for example to ensure that no analyst will abuse or cause others to abuse confidential information. 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One purpose of such measures is to restrict the flow of information between certain business areas and sub-business areas within the Pareto Securities Group, where conflicts of interest may arise and to safeguard the impartialness of the employees. For example, the Corporate Finance departments and certain other departments included in the Pareto Securities Group are surrounded by arrangements, so-called Chinese Walls, to restrict the flows of sensitive information from such departments. The internal guidelines also include, without limitation, rules aimed at securing the impartialness of, e.g., analysts working in the Pareto Securities Research departments, restrictions with regard to the remuneration paid to such analysts, requirements with respect to the independence of analysts from other departments within the Pareto Securities Group rules concerning contacts with covered companies and rules concerning personal account trading carried out by analysts. Distribution restriction The securities referred to in this publication or report may not be eligible for sale in some jurisdictions and persons into whose possession this document comes should inform themselves about and observe any such restrictions. This publication or report is not intended for and must not be distributed to private customers in Great Britain or the US. This research report is only intended for and may only be distributed to institutional investors in the United States and U.S. entities seeking more information about any of the issuers or securities discussed in this report should contact Auerbach Grayson & Company at 25 West 45th Street New York, NY 10036 Tel. 1 212-453-3549 or Pareto Securities Inc. at 150 East 52nd Street, New York, NY 10022, Tel. 212 829 4200. Auerbach Grayson & Company is a broker-dealer registered with the U.S. Securities and Exchange Commission and is a member of the FINRA & SIPC. Investment products provided by or through Auerbach Grayson & Company or Pareto Securities Research are not FDIC insured may lose value and are not guaranteed by Auerbach Grayson & Company or Pareto Securities Research. Investing in non-U.S. securities may entail certain risks. This document does not constitute or form part of any offer for sale or subscription, nor shall it or any part of it form the basis of or be relied on in connection with any contract or commitment whatsoever. The securities of non-U.S. issuers may not be registered with or subject to SEC reporting and other requirements. The information available about non-U.S. companies may be limited, and non-U.S. companies are generally not subject to the same uniform auditing and reporting standards as U.S. companies. Fluctuations in the values of national currencies, as well as the potential for governmental restrictions on currency movements, can significantly erode principal and investment returns. Market rules, conventions and practices may differ from U.S. markets, adding to transaction costs or causing delays in the purchase or sale of securities. Securities of some non-U.S. companies may not be as liquid as securities of comparable U.S. companies. Auerbach Grayson & Company and/or Pareto Securities Research may have material conflicts of interest related to the production or distribution of this research report which, with regard to Pareto Securities Research, are disclosed herein. Pareto Securities Inc. is a broker-dealer registered with the U.S. Securities and Exchange Commission and is a member of FINRA & SIPC. U.S. To the extent required by applicable U.S. laws and regulations, Pareto Securities Inc. accepts responsibility for the contents of this publication. Investment products provided by or through Pareto Securities Inc. or Pareto Securities Research are not FDIC insured, may lose value and are not guaranteed by Pareto Securities Inc. or Pareto Securities Research. Investing in non-U.S. securities may entail certain risks. This document does not constitute or form part of any offer for sale or subscription, nor shall it or any part of it form the basis of or be relied on in connection with any contract or commitment whatsoever. The securities of non-U.S. issuers may not be registered with or subject to SEC reporting and other requirements. The information available about non-U.S. companies may be limited, and non-U.S. companies are generally not subject to the same uniform auditing and reporting standards as U.S. companies. Market rules, conventions and practices may differ from U.S. markets, adding to transaction costs or causing delays in the purchase or sale of securities. Securities of some non-U.S. companies may not be as liquid as securities of comparable U.S. companies.
30
Disclaimers and disclosures
Distribution in Singapore Pareto Securities Asia Pte Ltd (“Pareto Securities Asia”) is an exempt financial advisor under the Singapore Financial Advisers Act and a subsidiary of Pareto Securities AS in Singapore. This report is directed only to "accredited investors", "expert investors" and "institutional investors" as defined in the Singapore Securities and Futures Act. This report is intended for general circulation amongst such investors and does not take into account the specific investment objectives, financial situation or particular needs of any particular person. You should seek advice from a financial adviser regarding the suitability of any product referred to in this report, taking into account your specific financial objectives, financial situation or particular needs before making a commitment to purchase any such product. Please contact Pareto Securities Asia, 16 Collyer Quay, # 27-02 Hitachi Tower, Singapore 049318, at +65 6408 9800 in respect of any matters arising from or in connection with this report. Copyright This publication or report may not be mechanically duplicated, photocopied or otherwise reproduced, in full or in part, under applicable copyright laws. Any infringement of Pareto Securities Research´s copyright can be pursued legally whereby the infringer will be held liable for any and all losses and expenses incurred by the infringement.
31
Disclaimers and disclosures
Appendix B
Disclosure requirements pursuant to the Norwegian Securities Trading ST Regulation § 3-11, letters d-f, ref the Securities Trading Act Section 3-10
Overview over issuers of financial instruments where Pareto Securities AS have prepared or distributed investment recommendation, where Pareto Securities AS or related companies have been lead manager/co-lead manager or have rendered publicly known not immaterial investment banking services over the previous 12 months:
Appendix C
Disclosure requirements pursuant to the Norwegian Securities Trading ST Regulation § 3-11 (4)
Column I shows the overall ratio of “Buy”, “Hold” and “Sell” in Pareto’s Recommendations in financial instruments.
Column II shows the ratio of “Buy”, “Hold” and “Sell” in Pareto’s Recommendations in financial instruments where Pareto Have provided investment banking services to the issuer the previous 12 months.
Appendix A
Disclosure requirements pursuant to the Norwegian Securities Trading Regulations section 3-10 (2) and section 3-11 (1), letters a-b
Pareto Securities AS does not alone or - together with affiliated companies or persons – owns a portion of the shares exceeding 5 % of the total share capital in any company where a recommendation has been produced or distributed by Pareto Securities AS.
Pareto Securities AS may hold financial instruments in companies where a recommendation has been produced or distributed by Pareto Securities AS in connection with rendering investment services, including Market Making.
Please find below an overview of material interests in shares held by employees in Pareto Securities AS, in companies where a recommendation has been produced or distributed by Pareto Securities AS.
By material interest is meant holdings exceeding a value of NOK 50 000.
Column I Column II
Buy 67.00 % 93.50 %
Hold 21.50 % 3.20 %
Sell 11.50 % 3.20 %
This overview is updated quarterly (last updated 17.04.2012).
CompanyAnalyst
holdings
Total
holdingsCompany
Analyst
holdings
Total
holdings
Algeta - 1 000 Olav Thon Eiendomsselskap - 938
Archer - 13 500 Orkla - 193 347
Bonheur - 2 800 Petroleum Geo-Services - 33 900
BW Offshore - 230 486 Polarcus Limited - 280 612
BWG Homes - 18 210 Protector Forsikring - 499 100
Cermaq - 3 000 Questerre Energy - 277 206
Discovery Offshore - 12 000 Renewable Energy Corp. - 24 961
DNB - 115 535 S.D. Standard Drilling - 100 000
Dockwise - 400 SalMar - 56 400
DOF - 30 000 Sandnes Sparebank - 6 295
EOC Limited - 25 000 Seadrill - 4550
Farstad Shipping - 16 000 Ship Finance Ltd - 2 768
Fred Olsen Energy 100 300 Solstad Offshore - 4 100
Frontline - 10 000 Songa Offshore - 4 000
Gjensidige Forsikring - 139 527 Sparebank 1 Nord-Norge - 20 637
Havila Shipping - 12 450 Sparebank 1 SR-Bank - 60 889
Höegh LNG - 86 203 Sparebanken Øst - 22 349
Kongsberg Gruppen - 63 300 Spectrum - 197 000
Lerøy Seafood Group - 37 400 Statoil - 85 544
Marine Harvest Group - 50 000 Statoil Fuel & Retail - 47 890
Morpol - 116 214 Storebrand - 2 263
Norsk Hydro - 464 773 Subsea 7 - 75 906
Norske Skogindustrier - 37 496 Telenor - 106 600
Northland Resources - 393 000 TGS-NOPEC - 7 450
Norwegian Air Shuttle - 500 Veidekke - 21 500
Noreco - 245 807 Wilh. Wilhelmsen Holding A - 404
Odfjell - 7 300 Yara - 26 728
This overview is updated monthly (last updated 17.04.2012)
- Aker - Dolphin Group - Pareto bank
- Aker Floating Production - Eitzen Maritime - Polarcus
- Aker Seafoods - Electromagnetic Geoservices - Prosafe
- Akva Group - Equinox Offshore - Protector Forsikring
- American Shipping Company - Expro Intl. Group Holding - Reservoir Exploration Technology
- Archer - GasLog - Rocksource
- Asia Offshore Drilling - Havila Shipping - Saga Tankers
- Austevoll Seafood - Höegh LNG - SalMar
- BassDrill - KrisEnergy Holding Company - Sandnes Sparebank
- Bergen Group - Lyse Energi - Seadrill
- Blom - Marine Aluminium Holding - Sevan Drilling
- BOA Group - Marine Subsea - Sevan Marine
- BW Offshore - Maritim Industrial Services - Shamaran Petroleum
- Camillo Eitzen & Co - Neptune Offshore - Siemens
- Cina Haikui - Noreco - SinOceanic
- Codfarmers - Norse Energy Corp - Songa Offshore
- Concedo - North Atlantic Drilling - Sparebanken Øst
- DDI - North Energy - Sparebanken Sogn & Fjordane
- Det Norske Oljeselskap - Northland Resources - Standard Drilling
- Discovery Offshore - Ocean Rig - Statoil
- DNO International - Odfjell Drilling - Swedbank
- DOF - OSX - Troll Drilling & Services
- DOF Installer Pacific Drilling - Voss Resort
- DOF Subsea
32
Disclaimers and disclosures
Appendix D
This part applies to research reports prepared by Pareto Öhman. Disclosure of positions in financial instruments The beneficial holding of the Pareto Group is 1% or more of the total share capital of the following companies included in Pareto Öhman’s research coverage universe: Isconova, and Ruric. The Pareto Group has material holdings of other financial instruments than shares issued by the following companies included in Pareto Öhman’s research coverage universe: RusForest and PA Resources. Disclosure of assignments and mandates During the past 12 months, members of the Pareto Group have been lead manager or co-lead manager of publicly disclosed issues or offers of or with regard to securities of the following companies included in Öhman’s research coverage universe: Shamaran Petroleum, Lucara Diamonds, Tinkoff/Edigaco and Trigon Agri. During the past 12 months, members of the Pareto Group have provided other investment banking services to and received compensation for such services from the following companies included in Öhman’s research coverage universe: Africa Oil, BlackPearl Resources, Isconova, JLT Mobile Computers, RusForest, Trigon Agri, Lucara Diamonds and Shamaran Petroleum. Members of the Pareto Group provide market making or other liquidity providing services to the following companies included in Öhman’s research coverage universe: 2Entertain, Africa Oil, Beijer Electronics, Black Pearl Resources, Cloetta, Coastal Contacts, Episurf, Fastighets AB Balder, G&L Beijer, Isconova, JLT, NAXS, Partnertech, Prevas, Ruric, Shamaran Petroleum, Tethys Oil and Trigon Agri. Members of the Pareto Group have entered into agreements concerning the inclusion of the company in question in Öhman’s research coverage universe with the following companies: Africa Oil, Isconova and Shamaran Petroleum. This overview is updated monthly. Previous rating system (up to 16 Sep 2011) Rating Expected total return in six to twelve months OUTPERFORM The stock is expected to outperform the return on our Nordic sector universe NEUTRAL The stock is expected to perform in line with the return on our Nordic sector universe UNDERPERFORM The stock is expected to underperform the return on our Nordic sector universe
