Flowserve to Supply Critical Safety-Related Pumps and Valves to ElectricitA(C) de France for the Evolutionary Power Reactor, Flamanville 3, in France
Pump and valve order fits Flowserve's strategic goal to remain a global leader in the nuclear power industry by providing technologically advanced flow control products and supporting services that are designed to reduce operating costs, and increase reliability and safety.
DALLAS, Sep 16, 2008 -- Flowserve Corporation, a leading global provider of fluid motion and control products and services (NYSE: FLS), confirmed it has accepted orders to supply critical safety-related pumps and valves with actuators for the first Evolutionary Power Reactor (EPR) being constructed at Flamanville 3 in Normandy, France by ElectricitA(C) de France and AREVA. The pumps are being manufactured by Flowserve at a facility in Arnage, France and the valves and actuators in the company's Raleigh, North Carolina facility.
The valve orders for this project, as well as the majority of the pump orders, were recorded in previous periods as bookings by Flowserve.
The EPR Flamanville 3 is expected to be operational in 2012 and represents an important first step in ElectricitA(C) de France's plans to prepare for the eventual replacement of its existing fleet of 58 nuclear reactors that will begin to be decommissioned around 2020.
"We are pleased that Flowserve was trusted by AREVA and ElectricitA(C) de France with an important role in this project," said Lewis Kling, President and Chief Executive Officer of Flowserve. "Our continued participation in projects of this type reinforces the strength we are seeing in the global power market," Kling added.
Flowserve, through predecessor companies, has been manufacturing critical pumps and valves for the French commercial nuclear power program since the first French pressurized water nuclear reactors went into service at Fessenheim and Bugey in the late 1970s and retains the capability to build nuclear pumps and valves to both the U.S. ASME Section III and French RCC-M nuclear codes.
"Our participation in this project fits our strategic goal to remain a global leader in the nuclear power industry providing technologically advanced flow control products and supporting services that are designed to reduce operating costs, and increase reliability and safety," said Tom Ferguson, President of the Flowserve Pump Division.
The pump equipment being supplied by Flowserve for Flamanville 3 includes the component pumps for cooling water, essential service water, and emergency feedwater applications.
"This project continues our long relationship with AREVA, supplying valves and actuators for critical applications in their nuclear power plant design," said Tom Pajonas, President of the Flowserve Flow Control Division.
The valves supplied for the project include the main steam and full-load feedwater isolation valves (MSIVs and MFFLIVs) as well as the electrically actuated main feedwater and low-load isolation valves. The valves all play an important role in emergency plant shut down as well as cooling the nuclear reactor during normal and emergency operating conditions.
About Flowserve Corp.
Flowserve Corp. is one of the world's leading providers of fluid motion and control products and services. Operating in more than 55 countries, the company produces engineered and industrial pumps, seals and valves as well as a range of related flow management services. More information about Flowserve can be obtained by visiting the company's Web site at www.flowserve.com.
FLOWSERVE SAFE HARBOR STATEMENT:
This news release includes forward-looking statements within the meaning of Section27A of the Securities Act of 1933 and Section21E of the Securities Exchange Act of 1934, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, as amended. Words or phrases such as, "may," "should," "expects," "could," "intends," "plans," "anticipates," "estimates," "believes," "predicts" or other similar expressions are intended to identify forward-looking statements, which include, without limitation, earnings forecasts, statements relating to our business strategy and statements of expectations, beliefs, future plans and strategies and anticipated developments concerning our industry, business, operations and financial performance and condition.
The forward-looking statements included in this news release are based on our current expectations, projections, estimates and assumptions. These statements are only predictions, not guarantees. Such forward-looking statements are subject to numerous risks and uncertainties that are difficult to predict. These risks and uncertainties may cause actual results to differ materially from what is forecast in such forward-looking statements, and include, without limitation, the following: a portion of our bookings may not lead to completed sales, and our ability to convert bookings into revenues at acceptable profit margins; risks associated with cost overruns on fixed-fee projects and in taking customer orders for large complex custom engineered products requiring sophisticated program management skills and technical expertise for completion; the substantial dependence of our sales on the success of the petroleum, chemical, power and water industries; the adverse impact of volatile raw materials prices on our products and operating margins; economic, political and other risks associated with our international operations, including military actions or trade embargoes that could affect customer markets, particularly Middle Eastern markets and global petroleum producers, and non-compliance with U.S. export/re-export control, foreign corrupt practice laws, economic sanctions and import laws and regulations; our furnishing of products and services to nuclear power plant facilities; potential adverse consequences resulting from litigation to which we are a party, such as litigation involving asbestos-containing material claims; a foreign government investigation regarding our participation in the United Nations Oil-for-Food Program; risks associated with certain of our foreign subsidiaries conducting business operations and sales in certain countries that have been identified by the U.S. State Department as state sponsors of terrorism; our relative geographical profitability and its impact on our utilization of deferred tax assets, including foreign tax credits, and tax liabilities that could result from audits of our tax returns by regulatory authorities in various tax jurisdictions; the potential adverse impact of an impairment in the carrying value of goodwill or other intangibles; our dependence upon third-party suppliers whose failure to perform timely could adversely affect our business operations; our dependence on our customers' ability to make required capital investment and maintenance expenditures; the highly competitive nature of the markets in which we operate; environmental compliance costs and liabilities; potential work stoppages and other labor matters; our inability to protect our intellectual property in the U.S., as well as in foreign countries; obligations under our defined benefit pension plans; and other factors described from time to time in our filings with the Securities and Exchange Commission.
All forward-looking statements included in this news release are based on information available to us on the date hereof, and we assume no obligation to update any forward-looking statement.
Technical Contact: Zac Nagle, Vice President - Investor Relations (972) 443-6557
Media Contact: Lars Rosene, Vice President - Global Communications and Public Affairs (469) 420-3264
