Norsk Hydro: Sapa (joint venture) - Announcement of results for the fourth quarter 2014

Underlying EBIT for Sapa declined compared to the previous quarter, mainly due
to lower seasonal demand.



Underlying EBIT for Sapa increased compared to the same quarter previous year
due to stronger North American demand, improved margins, improvement programs
and restructuring activities in Europe. Global automotive demand has supported
the precision tubing results. Results for the fourth quarter 2013 included
charges related to impairment of inventories and accounts receivables.



The restructuring program initiated by the company in 2013, targeting annual
synergies of around NOK 1 billion by the end of 2016, is ahead of plan, with
about half of the target reflected in the underlying results for the full year
2014.



Reported EBIT for fourth quarter was in addition to the factors mentioned above
impacted by items related to restructuring activities undertaken to deliver on
the improvement and restructuring agenda.



In addition to items related to the improvement and restructuring agenda,
reported EBIT includes approximately NOK 0.5 billion* in impairment of fixed
assets in China.



+-------------------+----------------+---------------+---------------+---------+
|Key Figures - Sapa | Fourth quarter| Third quarter| Fourth quarter|Year 2014|
|(50%) | 2014| 2014| 2013| |
+-------------------+----------------+---------------+---------------+---------+
|NOK million, except|  |  |  |  |
|sales volumes | | | | |
+-------------------+----------------+---------------+---------------+---------+
|Revenue | 5 945| 5 802| 5 066| 23 192|
+-------------------+----------------+---------------+---------------+---------+
|Underlying EBITDA | 171| 246| (22)| 958|
+-------------------+----------------+---------------+---------------+---------+
|Underlying EBIT | (27)| 100| (170)| 326|
+-------------------+----------------+---------------+---------------+---------+
|Underlying Net | (22)| 55| (140)| 199|
|Income (loss) | | | | |
+-------------------+----------------+---------------+---------------+---------+
|Sales volumes (kmt)| 161| 175| 157| 699|
+-------------------+----------------+---------------+---------------+---------+
|Earnings before | (339)| 99| (393)| (158)|
|financial items and| | | | |
|tax (EBIT) | | | | |
+-------------------+----------------+---------------+---------------+---------+





Market

Demand for extruded products in North America increased 9 percent compared to
the same quarter of the previous year as a result of increased building and
construction activity and strong automotive demand. Compared to the previous
quarter, demand decreased by 10 percent, due to seasonality.

In Europe, extruded products demand was overall stable compared to the same
quarter previous year, where a weaker building and construction market was
offset by most other segments. Compared with the previous quarter, demand
decreased 6 percent, due to seasonality.


Demand for extruded products is expected to seasonally improve going into the
first quarter of 2015.



*Hydro's share is 50 percent of this figure



Investor contact
Contact Pål Kildemo
Cellular +47 97096711
E-mail Pal.Kildemo@hydro.com

Press contact
Contact Halvor Molland
Cellular +47 92979797
E-mail Halvor.Molland@hydro.com


Certain statements included within this announcement contain forward-looking
information, including, without limitation, those relating to (a) forecasts,
projections and estimates, (b) statements of management's plans, objectives and
strategies for Hydro, such as planned expansions, investments or other projects,
(c) targeted production volumes and costs, capacities or rates, start up costs,
cost reductions and profit objectives, (d) various expectations about future
developments in Hydro's markets, particularly prices, supply and demand and
competition, (e) results of operations, (f) margins, (g) growth rates, (h) risk
management, as well as (i) statements preceded by "expected", "scheduled",
"targeted", "planned", "proposed", "intended" or similar statements.



Although we believe that the expectations reflected in such forward-looking
statements are reasonable, these forward-looking statements are based on a
number of assumptions and forecasts that, by their nature, involve risk and
uncertainty. Various factors could cause our actual results to differ materially
from those projected in a forward-looking statement or affect the extent to
which a particular projection is realized. Factors that could cause these
differences include, but are not limited to: our continued ability to reposition
and restructure our upstream and downstream aluminium business; changes in
availability and cost of energy and raw materials; global supply and demand for
aluminium and aluminium products; world economic growth, including rates of
inflation and industrial production; changes in the relative value of currencies
and the value of commodity contracts; trends in Hydro's key markets and
competition; and legislative, regulatory and political factors.


No assurance can be given that such expectations will prove to have been
correct. Hydro disclaims any obligation to update or revise any forward looking
statements, whether as a result of new information, future events or otherwise.



This information is subject of the disclosure requirements pursuant to section
5-12 of the Norwegian Securities Trading Act.



[HUG#1891882]