WCA March 2008

news

Nexans lays cable on bottom of Lake Constance, Germany

Nexans has completed a contract for Stadtwerke Konstanz GmbH to lay a submarine fibre optic cable across Lake Constance, Germany, providing a new ultra-fast data communication link between the German towns of Konstanz and Friedrichshafen. Konstanz and Friedrichshafen are on opposite shores of Lake Constance,

the large freshwater lake on the Rhine between Germany, Switzerland and Austria. Stadwerke Konstanz, the local utility, wanted to upgrade the data com- munications link between the two towns. However, laying the cable on land would have involved taking a long route around the lake with expensive excavation work. The direct route, with the cable laid on the lake bed, has proved more cost-effective. The fibre-optic cable, weighing more than 30 tons and 26 kilo- metres long, was manufactured and delivered by Nexans in one single continuous piece thus eliminating jointing operations. Beneath a robust outer sheath, it comprises four stainless steel sheathed bunched conductors, each consisting of 48 mono-mode fibre optic cables. Each individual fibre is capable of ultra-quick transmission of large amounts of data, digital television signals and an almost unlimited number of telephone conversations.

Workers lay the cable on the bed of Lake Constance, Germany m

A condition for Nexans receiving the order was that the materials used in the construction of the cable must not harm the drinking water reservoir, as many towns and communities, right up to the northern border of Baden- Württemberg, get their water from Lake Constance. Nexans – France Fax : +33 15669 8484 Email : nexans.web@nexans.com Website : www.nexans.com

. . . and agrees to buy Madeco Nexans has signed a framework agreement to acquire the cable business of Madeco, in South America. At current non-ferrous metal prices, the 2006 sales of the Madeco Group cable business totalled US$ 672 million (€457 million), in three major segments: cables for infrastructures, industry and building (and in electrical wires to a lesser extent). The organic volume growth for these segments was 12% per year during the 2004/2006 period. For the 2007 half-year, Madeco’s wire and cable sales breakdown by country was approximately: 43% in Brazil, the largest market in South America, 28% in Chile, 18% in Peru, 6% in Argentina, and 5% in Colombia. In all these countries, Madeco has a leading position thanks to its established reputation and commercial image. These growing markets, Madeco’s leading position, and its management excellence enabled the company to realise a US$ 43 million (€29 million) EBITDA in the first half of 2007, representing an operating margin of 10.6% of sales at current non-ferrous metal prices. The closing of this acquisition is expected in the third quarter of 2008 and is mainly subject to approval of Madeco’s and Nexans’ shareholders, as well as relevant regulatory authorities.

Nexans – France

Fax : +33 1566 98484

Email : nexans.web@nexans.com

Website : www.nexans.com

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Wire & Cable ASIA – March/April 2008