CRH plc - General - Worldwide, CRH Makes 31 Acquisitions for Euro 400m

Date: 04 Jan 2007

CRH plc, the international building materials group, yesterday announced 31 acquisition initiatives totalling euro 400 million undertaken during the second half of 2006.

These initiatives are in addition to the acquisition of a 50% stake in American Cement Company for a cash outlay of US$ 50 million (euro 39 million) announced on 1 August 2006 and the acquisition of Ashland Paving & Construction (APAC), announced on 21 August 2006, for US$ 1.3 billion (euro 1.0 billion). Taking into account subsequent selective disposals of non-core APAC asphalt and contracting activities for US$195 net of tax, announced on 12 December 2006, total net acquisition spend for the second half of 2006 amounted to approximately euro 1.3 billion.

This combined with a first half acquisition spend of euro 0.8 billion results in a record net acquisition spend of approximately euro 2.1 billion for 2006.

Commenting on these developments, Liam O'Mahony, CRH Chief Executive, said:"Development momentum in 2006 has been very strong with a total 69 acquisitions concluded, including APAC, the largest single transaction completed by the Group. This record euro 2.1 billion acquisition spend will be an important factor in further driving growth across all CRH divisions."

The initiatives contained in this Development Strategy Update are as follows:

Europe Materials - 4 acquisitions and 1 joint venture investment for euro 47 million

Four bolt-on transactions were completed, further expanding existing operations in Ireland, eastern Europe and Portugal. In addition, the Division invested in bitumen storage facilities in Ireland.

Europe Products - 7 acquisitions for euro 121 million

The Concrete Products group completed CRH's first acquisition in Italy and acquired three other businesses in Germany, Belgium and France. The Building Products group expanded its construction accessories platform with the acquisition of an Irish business; entered a new niche sector by acquiring a leading Dutch roller shutter and awnings business; and purchased a fencing business in the UK.

Europe Distribution - 3 acquisitions for euro 18 million

Three acquisitions in the Netherlands, Switzerland and France added a total of four builders merchants outlets to our existing branch network in Europe.

Americas Materials - 7 acquisitions for euro 69 million

Four bolt-on acquisitions were completed by Americas Materials in the Central region and a further three acquisitions strengthened its operations in the West.

Americas Products - 5 acquisitions for euro 53 million

The Precast Group completed two acquisitions, one in Georgia and one in California. The Architectural Products Group also completed two acquisitions, in Iowa and North Carolina. The Glass Group acquired a leading Toronto-based manufacturer of curtain wall systems.

Americas Distribution - 4 acquisitions for euro 92 million

Three interior product acquisitions were completed by the Distribution Group; one in Texas and two in Florida. A roofing and siding distributor on the Hawaiian Islands was also acquired. These four transactions added 12 locations to the Distribution Group's existing branch network.

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