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2016-11-22

Alfa Laval: Summary of Alfa Laval's Capital Markets Day - Marine update

During Alfa Laval's Capital Markets Day in Copenhagen Tuesday, the
company gave an update on two marine environmental applications, as
the convention for treating ballast water has been ratified and the
time frame for implementing a global reduction of sulphur emissions
has been set.

The international convention for the control and management of ship's
ballast water and sediments, was ratified on September 8th. It will
enter into force with a 12-month lag, i.e. on September 8th, 2017.

"With the ratification in place, the market for retrofit installations
is expected to start to move," said Peter Leifland, President for the
Marine & Diesel Division.

Alfa Laval PureBallast is the world's first chemical-free solution for
ballast water treatment, that fully complies with IMO standards. Alfa
Laval has also filed for approval with the US Coast Guards.

Alfa Laval still expects that 35 000 ships will install a system
between 2017 and 2025. This will be split between 15 000 newly built
ships and 20 000 retrofit installations. The average order value per
ship is also unchanged at EUR 200 000 - 225 000.

Furthermore, Peter Leifland talked about the scrubber solution Alfa
Laval PureSOx, as the regulation of sulphur emissions will become
global 2020. IMO's convention for the reduction of sulphur oxides
(SOx) is already ratified and since 2015 implemented in some Emission
Control Areas (ECAs). From 2020 it will also apply to global waters,
demanding that emission levels there be cut to 0.5 percent.

Since the 2020 timeframe for sulphur emissions has now been set, Peter
Leifland provided information about what this could mean in terms of
market potential.

"Alfa Laval estimates that 5 000 ships, new as well as existing, will
install a scrubber solution in the period 2017-2025," says Peter
Leifland. Given the development of new solutions, Alfa Laval's
average order value per ship is expected to be EUR 1 million, over
time.

"PureBallast and PureSOx are two interesting products in our
portfolio. An important opportunity is about to open up at a time
when falling ship contracting is impacting our order intake", said
Peter Leifland.

About Alfa Laval

Alfa Laval is a leading global provider of specialized products and
engineering solutions based on its key technologies of heat transfer,
separation and fluid handling.

The company's equipment, systems and services are dedicated to
assisting customers in optimizing the performance of their processes.
The solutions help them to heat, cool, separate and transport
products in industries that produce food and beverages, chemicals and
petrochemicals, pharmaceuticals, starch, sugar and ethanol.

Alfa Laval's products are also used in power plants, aboard ships, in
the mechanical engineering industry, in the mining industry and for
wastewater treatment, as well as for comfort climate and
refrigeration applications. Alfa Laval's worldwide organization works
closely with customers in nearly 100 countries to help them stay
ahead in the global arena.

Alfa Laval is listed on Nasdaq OMX, and, in 2015, posted annual sales
of about SEK 39.7 billion (approx. 4.25 billion Euros). The company
has about 17 500 employees.

www.alfalaval.com

For more information, please contact:
Peter Torstensson
Senior Vice President, Communications
Alfa Laval
Tel: + 46 46 36 72 31
Mobile: +46 709 33 72 31

Gabriella Grotte
Investor Relations Manager
Alfa Laval
Tel: +46 46 36 74 82
Mobile: +46 709 78 74 82

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http://news.cision.com/alfa-laval/r/summary-of-alfa-laval-s-capital-mark...
http://mb.cision.com/Main/905/2127812/593877.pdf

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