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Thursday 12 January, 2012

Imerys

Strategic development orientations and confirma...

PR Newswire/Les Echos/

PRESS RELEASE

                                                        Paris, January 12, 2012

Imerys presents today its strategic development orientations at Investor Day and
confirms 2011 annual target

• Ambition 2012-2016
  o Generate organic growth(1) above global GDP growth rate
    * Acceleration in research, development and innovation efforts (up to 
      EUR700 million potential incremental sales in 2016 compared with 2011)
    * Targeted development in emerging countries
    * Priority given to markets with high growth potential
  o Enlarge the Group footprint through a selective acquisition strategy
  o Keep strict financial criteria for development and maintain a sound 
    financial structure 

• 2011 estimated results
  o Sales in excess of EUR3,650 million, almost + 10% increase compared to 2010
  o Target of over + 20% growth in net income from current operations 
    confirmed for full-year 2011

Ambition 2012-2016

As part of today's Investor Day, Imerys presents its strategic orientations
for the next five years, with the aim of speeding up its development through
stronger organic growth.

Innovation resources have been significantly increased to step up the Group's
presence on end markets with high growth potential, but also to enhance its
specialty minerals offering. A EUR60 million budget has been allocated to
Research & Development in 2012. By 2016, Imerys will achieve up to EUR700
million incremental sales in new products, compared to EUR200 million sales in
2011 with products launched over the past five years.

Imerys also plans to continue its development in emerging countries, which
represent almost 27% of its consolidated sales(2). India, China and Brazil,
which together generate more than EUR400 million in turnover, are set to play a
driving role in this strategy, which will combine internal growth, acquisitions
and partnerships.
Similarly, the Group will roll out regional development platforms in selected
countries.

Innovation and geographic expansion will also increase the Group's operational
robustness.

(1) Average, at comparable Group structure and exchange rates
(2) Over the first 9 months of 2011

To develop its leadership in mineral-based specialty products, Imerys will also
continue its strategy of selective acquisitions in line with its core
business.

The Group will maintain strict ROI criteria, targeting an internal rate of
return above 15% for its internal and external development projects in order to
keep a sound financial structure. In this way Imerys intends to achieve return
on capital employed higher than its weighted average cost of capital in order to
create maximum value for its shareholders.

Estimated 2011 results

Prior to the publication of the definitive 2011 financial statements on February
15, Imerys announces record provisional(3) sales for the financial year ending
on December 31, 2011. At over EUR3,650 million, sales grew almost + 10% compared
with 2010. They take into account the consolidation of Talc activity as of
August 1, 2011.

In the 4th quarter of 2011, the price-mix effect remained healthy and activity -
apart from Pigments for Paper & Packaging - was higher than in the same period
in 2010, despite a more contrasted macro-economic environment. The targeted
measures for managing costs and cash, implemented in the 3rd quarter, have
therefore been continued.

In that context, the Group confirms its objective of over + 20% growth in net
income from current operations for full year 2011.

In the second half of 2011, the Group secured almost a billion euros in
bilateral bank facilities through to 2015- 2016, in order to increase and
diversify its financial resources by lengthening their average maturity.

                                     ***

The presentation to investors will begin at 10:00 CET and end at 17:30 CET. All
the slide decks will be published on the Imerys website (www.imerys.com) after
this day.

                                     ***

More comprehensive information about Imerys may be obtained from its Internet
website (www.imerys. com) under Regulated Information, particularly in its
Registration Document filed with Autorité des marchés financiers on March 31,
2011 under number D. 11-0205 (also available from the Autorité des marchés
financiers website, www.amf-france.org). Imerys draws the attention of
investors to chapter 4, "Risk Factors", of its Registration Document.

Warning on projections and forward-looking statements: This document contains
projections and other forward-looking statements. Investors are cautioned that
such projections and forward-looking statements are subject to various risks and
uncertainties (many of which are difficult to predict and generally beyond the
control of Imerys) that could cause actual results and developments to differ
materially from those expressed or implied.

                                     ***

Analyst/Investor Relations             Press Contacts:
Pascale Arnaud - +33 (0)1 49 55 63 91  Pascale Arnaud  - +33 (0)1 49 55 63 91
[email protected]                Raphaël Leclerc - +33 (0)6 73 16 88 06

(3) Provisional sales, non audited.
                                                    IMERYS – January 12, 2012
                      
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