Transfield Services Limited

Type	Publicly listed corporation
Industry	Infrastructure maintenance services
Founded	1998
Founder(s)	Franco Belgiorno-Nettis AC
Headquarters	North Sydney, Australia
Area served	Australia, Canada, Chile, New Caledonia, Philippines, India, New Zealand, United Arab Emirates, Qatar, United States of America
Key people	Tony Shepherd (Chairman) Guido Belgiorno-Nettis AM Luca Belgiorno-Nettis AM Peter Goode (MD & CEO)
Services	Operations, maintenance, and asset and project management services
Revenue	A$3,208 million (2011)[1]
Operating income	A$3,295 million[1]
Net income	(A$20 million)[1]
Total assets	A$2,267 million[1]
Total equity	A$1,124 million[1]
Employees	27,000
Subsidiaries	APP, Broadspectrum, Easternwell, ICD, Hofincons Infotech and Industrial Services
Website	http://www.transfieldservices.com/

Transfield Services Limited (ASX: TSE) is an Australian publicly listed corporation providing operations and maintenance, asset management, project and capital management outsourcing and infrastructure development services to the resources and industrial, infrastructure services and property and facilities management sectors. The company operates in Australia and New Zealand, the Americas and the Middle East and Asia (comprising the United Arab Emirates, Qatar, New Caledonia, Malaysia, Philippines, and India).

Overview[link]

Transfield Services operates across diverse industries, including mining and process, hydrocarbons, transport (including road, rail and public transport), utilities (including water, power, and telecommunications), facilities management and defence. Transfield Services's clients include major national and international companies, as well as all levels of government.^[2]

History[link]

The origins of Transfield Services Limited commenced in 1956 when Transfield Pty Limited was founded by two Italian–born mechanical engineers, Franco Belgiorno-Nettis and Carlo Salteri. Together they built one of Australia's most successful companies focused on major engineering projects, such as bridges, tunnels, dams, hydro-electric and coal power stations, oil rigs, concert halls, sugar mills and power lines. Included in their list of major achievements are the construction of the Gateway Bridge in Brisbane and the Sydney Harbour Tunnel. By the early 1980s, Transfield had in excess of 3,000 employees and an annual turnover of A$350 million; and within five years grew to the point of being the biggest engineering firm in south-east Asia. The company acquired the Williamstown Dockyard in Melbourne and, in 1989 after winning a A$6 billion contract to build ten ANZAC class frigates for the Australian and New Zealand governments, the largest defence company in Australia.^[3][4] When visiting Australia in 1986 Pope John Paul II toured the Transfield factory located at Seven Hills.^[5]

First known as AMECON, then as Transfield Defence Systems, the company re-established a naval shipbuilding capability in Australia with the successful construction of two FFG7 - Oliver Hazard Perry class frigates for the Royal Australian Navy. It was later awarded the Anzac Ship Project contract,^[4] for 10 Anzac class frigates, eight for the Royal Australian Navy and two for the Royal New Zealand Navy.

In 1989, Salteri and Belgiorno-Nettis stood down as joint managing directors of Transfield Holdings (as the company was then named) in favour of their eldest sons, Paul Salteri and Marco Belgiorno-Zegna.^[6] However, in a dispute between Salteri and Belgiorno-Nettis in 1995, the differences between the two families became irreconcillable and Transfield, then valued at A$733.2 million was split in two.^[3] The Belgiorno-Nettis family kept the name Transfield, having earlier established Transfield Holdings’ Operations and Maintenance division in 1993 at Mobil Altona in Victoria. In 2001, the division was listed on the Australian Securities Exchange as Transfield Services Limited.^[7]

Current operations[link]

As a private investment and development company, Transfield Holdings retains a shareholding in Transfield Services, and its joint Managing Directors, Guido and Luca Belgiorno-Nettis are both Directors of Transfield Services Limited.

In June 2007, Transfield Services Infrastructure Fund was floated, comprising seven former Transfield Services assets; and later that year, the company acquired four wind farms.^[7]

In April 2009, Transfield Services announced the appointment of Dr Peter Goode as Managing Director and Chief Executive Officer, succeeding Peter Watson, who had been Chief Executive since the company listed on the ASX. Goode, born in South Australia, was a former senior executive with US–based oilfield services multinational Schlumberger, and formerly Group President and CEO of Vetco. He has stated that his strategy is to move Transfield Services into higher margin sectors, particularly providing maintenance services to the oil and gas sector.^[8]

As part of this strategy Transfield Services acquired privately owned Australian well-servicing business Easternwell in December 2010 for A$575 million. Easternwell provides services to the mining, oil and gas and infrastructure sectors in Queensland, South Australia and Western Australia.^[9][10]

In July 2011 Transfield Services sold its North American based facilities management business USM to Emcor for US$255 million (A$240m),^[11] and also announced the sell down of 80 percent of its share in the Transfield Services Infrastructure Fund to Ratchaburi Australia, a subsidiary of Thai company Ratchaburi Electricity General Holding PLC. In announcing the sale, Transfield Services Infrastructure Fund said it would book an A$12.2 million loss on its investment.^[12][13]

Philanthropy[link]

Transfield has had a longstanding commitment to the arts in the community. The company's involvement began when Franco Belgiorno-Nettis launched the Transfield Art Prize. Commonly known in art circles as the ‘Transfield’, the prize has become one of Australia’s major annual arts events. Since 1983, Transfield has also supported the Biennale of Sydney; now one of the premier activities in the Australian arts calendar. In the 1990s Transfield began supporting the Australian Chamber Orchestra.^[14] Transfield and the Belgiorno-Nettis family have also had a long association with the Art Gallery of New South Wales and donated A$4 million in 2007 to enable the creation of the Franco & Amina Belgiorno-Nettis & family Contemporary Galleries.^[15]

The Transfield Foundation, a joint venture between Transfield Holdings and Transfield Services was created in November 2010. The Foundation provides philanthropic support for innovation in employment and education, resources management and the arts across Australia.

References[link]

External links[link]

• Transfield Services Limited website
• Transfield Holdings website
• Transfield Foundation website