A N N U A L R E P O R T A N D A C C O U N T S - CMVM

Management Report of the Board of Directors - Financial Year 2008
In 2008, this Company reported, in individual terms, a 33.5%
increase in operating profit, which was fully due to the internal
market and reached EUR 61,159 thousand.
The development of mining infrastructures contributed to the
most important portion for the production volume achieved,
followed, in order of importance, by the construction of road
tunnels.
In the contract job for the Construction of the Ribeira de S.
Jorge – Arco de S. Jorge Expressway – 1 st Phase – Tunnels,
in progress for “RAMEDM – Estradas da Madeira, S.A.”,
executed under a consortium arrangement, 3.890 metres of
tunnels and connection galleries were excavated, leaving the
opening of the road lanes practically completed and preparing
the ground to receive the final layer of the reinforced concrete.
In the Moinho and Feitais mines, in Aljustrel, more than
8.2 km of tunnels were built, despite the fact that
“Pirites Alentejanas, S.A.” decided, on 31 st October, to
suspend all the production activity, and consequently
terminated all the work contracts it had with several service
providers.
49 RAMEDM / Express Highway of S. Jorge - Arco de S. Jorge – 1 st . Phase - Tunnels
Lastly, mention must also be made of the fact that EPOS, S.A.
also worked within the “PERFORESC – Perfurações e
Escavações, A.C.E.” group, in which it holds a 60% stake,
while the remaining 40% is held by “Teixeira Duarte –
Engenharia a Construções, S.A.”.
48 SOMINCOR / Execution of the Tunnels at Neves Corvo Mines
In those same mines, and only during the first ten months of
the year, 107,000 m 3 of ore were excavated and removed
underground and important complementary works were
carried out, among which we highlight the opening of 283
metres of mining pits and the installation of 11.500 linear
metres of steel cable anchorage slings.
In the Neves Corvo mine, the works that were being carried
out for “SOMINCOR – Sociedade Mineira de Neves Corvo,
S.A.”, continued, having completed 8.7 km of tunnels and
applied approximately 29,000 m 3 of sprayed concrete.
In 2008, EPOS, S.A. continued its effort to expand and
modernise its machinery fleet, investing EUR 8,332
thousand, essentially for the purchase of basic production
equipment.
An orders portfolio amounting to EUR 30 million was carried
forward to 2009. Considering that some of projects for which
bids were previously submitted will be awarded, the operating
profit is expected to reach EUR 50 million.
Within the scope of the Integrated Safety, Quality and
Environmental Management System the usual follow-up
audits were performed, this time simultaneously analysing the
change/migration to OHSAS 18001:2007, and the certifying
entity recommended recertification in accordance with the
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