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Lafarge announces new organisation project

World Cement,

Lafarge has announced a new organisation project, designed to accelerate the Group’s development and profitability.

The project involves three main measures. The first is the implementation of a country-based organisation, with country CEOs’ responsibilities extended to cover all cement, aggregates and concrete activities, using common support functions. The second measure is the removal of one hierarchical layer, with the aim of cutting out the regional level. The final measure is the resulting transformation of the structure and responsibilities of the Executive Committee, including the creation of a Performance function and an Innovation function.

The Executive Committee will be comprised of an Executive Vice President (EVP) Innovation; an EVP Performance; three EVPs Operations responsible for supervising countries; an EVP Strategy, Development and Public Affairs; an EVP Finance; an EVP Organisation and Human Resources; and one Senior Vice President Group Communications.

This project is the natural next step following Lafarge’s geographical expansion and its recent refocusing on cement, aggregates and concrete, particularly after the disposal of most of its gypsum activities. Its aim is to increase the company’s differentiation through the development of higher value-added products and solutions for construction.

Bruno Lafont, Chairman and Chief Executive Officer of Lafarge, said: “This new organisation project will reinforce our efficiency. It will drive us to greater focus on our markets and customers’ needs, and to accelerate the Group’s development through organic growth and innovation. This transformation is a milestone for the Group. It should strengthen Lafarge’s position as a key player in sustainable construction.”

The Group’s organisation project will be implemented from January 2012, once the necessary information and consultation procedures have taken place.

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