Note 1 - Beerenberg

The profit for the year totalled NOK 89.2 million (NOK 57.2
million in 2011).
The profit will be allocated to the owners of the parent
company.
Research and development
The combined activities of the group’s dedicated R&D department
have resulted in R&D being valued at NOK 4.1 million
in the balance sheet. As well as ISS product and method
development, the R&D department also comprises a team
that develops concepts, methods and tools in the area of cutting
and mobile machining (decommissioning).
Equity and liquidity
The group’s equity ratio stood at 56.8% (46.0%) as at
31.12.2012.
Liquidity has remained acceptable throughout the year. The
group has the financial strength to handle fluctuations in the
market and to make acquisitions if it is deemed to be strategically
appropriate.
Operational cash flows totalled NOK 136.8 million. Tied-up
capital is an area that is being closely monitored by the management
and board.
NOK 44.6 million was invested in the group in 2012, most of
which in operating equipment developed by the group, scaffolding
and the establishment of new fabrication facilities.
At year end the group has a working credit facility of NOK
26.5 million. The group’s combined credit limit is NOK 90
million.
Beerenberg Holding AS refinanced its debts during 2012 and
has reduced its liability to Beerenberg Corp. AS, which has
help boost liquidity at Beerenberg Corp. AS.
Financial risk information
The company’s ordinary operations are exposed to credit,
interest rate and exchange rate risks. The company endeavours
to maintain an acceptable level of risk in these areas.
New clients and major suppliers are credit-checked when
contracts are entered into. The group’s debts are predominantly
interest-bearing with a variable interest rate based on
NIBOR plus an interest margin. The group is thus susceptible
to changes in short-term interest rates. The company is
anxious to keep its exchange rate risk as neutral as possible.
It seeks to do so by keeping revenues and costs in the same
currency. Expected cash flows are hedged against currency
risks if the exchange rate exposure of a project is not neutral.
Shareholders
Beerenberg Holding AS owns 100% of the shares in
Beerenberg Corp. AS.
Working environment
Beerenberg seeks to sustain a good working environment
with enthusiastic and motivated staff who feel that they are
being well looked after. Areas of improvement have been
identified by measuring the working environment. The readings
contain a number of variables for which there is related
national historical data, and they show that the perception
of Beerenberg as an employer is in line with, or above, the
national average. No area achieved a significantly negative
score compared with national statistics.
The company aims to sustain a continuous reduction in sickness
absence and operates a zero tolerance policy in relation
to injuries and accidents. Sickness absence in 2012 stood at
7.84 %, with long-term absences totalling 4.25 % and shortterm
absences 3.59 %. This is in line with the figures from
2011. The company has redoubled its efforts in this area by
following up on issues more closely and clearly defining and
allocating responsibilities between projects and the HR department
and by including this as a core part of management
training. The company is a member of the Inkluderende
Arbeidsliv (Inclusive Workplace) scheme.
The company gives priority to long-term HSE initiatives
at all levels of the organisation. Once again the company
recorded no incidents leading to sickness absence in 2012.
The nature of the company’s activities requires a constant
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