Fincantieri: Termination of contracts for two vessels
at Vard Promar

Trieste, 14 December 2015

Fincantieri S.p.A. (“Fincantieri” or the “Company”) announces that Vard Holdings Limited (“VARD”) has been notified that Petrobras Transportes S.A. (“Transpetro”) has terminated the contracts for two Liquefied Petroleum Gas (LPG) carriers on order from Vard Promar S.A., a 50.5% owned indirect subsidiary of VARD.

The vessels in question are the last two of a series of eight LPG carriers originally contracted in June 2010, for delivery from Vard Promar between 2014 and 2016. The combined contract value for the series of eight vessels was USD 536 million. Construction of the two vessels is at a very early stage.

VARD is currently reviewing its overall exposure to the Brazilian market, and the termination – if effective – is expected to reduce its overall exposure. At the same time, VARD intends to claim compensation from Transpetro for damages in relation to the terminated contracts.

VARD does not expect the impact of the termination to have a material effect on the earnings per share for the financial year ending 31 December 2015.

VARD is 55.63% controlled by Fincantieri which fully consolidates its financial results.

Fincantieri press release