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FLUOR

Headquarters: One Enterprise Drive, Aliso Viejo

Employees: 38,055; 1,473 in OC

Business: engineering and construction

Market value, as of April 4: $7.5 billion

12-month revenue: $13.2 billion, up 40%

12-month net income: $227 million, up 22%

Year in review: 2005 was an extraordinary year for Fluor Corp. The economic recovery and booming energy industry played right into its bread-and-butter: building, expanding or improving oil and gas plants. The company also builds roads, bridges, mining operations, among other big-scale engineering projects.

A typical deal for Fluor: engineering work at the Habshan Gas Complex Expansion project in Abu Dhabi.

Late last year the company won a $999 million expansion of the Habshan gas processing complex. The deal calls for Fluor to build two sulphur recovery units and a new acid gas enrichment complex, among other work.

Overall, Fluor’s revenue jumped 40% to $13.2 billion in 2005.

Fluor’s not going to admit it, but where there’s natural disaster or war, the company usually has a good chance of getting contracts.

The company continued to do reconstruction work in Iraq, where it has won several pacts from the U.S. government. Fluor is working on repairs to Iraq’s oil industry, roadways and other infrastructure.

Meanwhile, Hurricane Katrina’s wrath yielded a big contract for Fluor,$100 million initially, but it could be worth much more.

In the days following the devastating Gulf Coast hurricane, Fluor was tapped to build thousands of temporary housing units for people who lost their homes or apartments.

The no-bid hurricane contracts awarded to Fluor and other engineering companies have been criticized by some observers. The Federal Emergency Management Agency had promised to rebid the reconstruction contracts, but recently did an about-face and said there would be no new bidding.

What’s ahead: A move to Texas. OC is set to lose its second-biggest public company by revenue when Fluor picks up and moves to the Dallas area this year.

Fluor said it picked the Irving, Texas, site because it’s cheaper to live than OC and is near the Dallas/Ft. Worth International Airport and the company’s energy-related clients.

The area also has a strong pool of workers, the company said.

Fluor’s planned 120,000-square-foot complex is set to have a three-story, two-wing office building along with an auditorium, cafeteria and fitness center.

The company plans to keep engineering operations in Aliso Viejo and Long Beach. But the move is expected to include some layoffs and reassignments to other areas of the country.

Meanwhile, expect more revenue gains in 2006 for Fluor.

Chief Executive Alan Boeckmann said earlier this year that strong spending by oil and gas companies was set to continue for “several years.”

Fluor’s backlog, or measure of work still to be completed, was $15 billion at the end of 2005. That’s up from $14.7 billion a year earlier. While the year-to-year increase is modest, Fluor’s backlog is about 40% higher than it was two years ago.

In OC, Fluor’s construction management work on the Orange County Performing Arts Center’s expansion is about to bear fruit.

The center is set to show off its new 2,000-seat Ren & #233;e and Henry Segerstrom Concert Hall, 500-seat Samueli Theater and an education center this fall.

Wall Street’s take: It’s been a sweet ride for Fluor during the past year.

At a recent price of $85.50, the company’s shares are more than 60% higher than their 52-week low and near the yearly high.

Fluor has a market value of $7.5 billion.

Analysts are looking for revenue of $14.3 billion in 2006, according to Thomson Financial. Net income is expected to be about $270 million.


WHO’S IN CHARGE

Alan BoeckmanN

Chairman, chief executive

Joined company: 1974

Education: electrical engineering degree from University of Arizona

Career: Before taking over as chief executive in 2002, Boeckmann held several positions at Fluor, including chief operating officer, head of its dominant Fluor Daniel venture and leader of many of the engineering and construction unit’s operations. He started at Fluor as an engineer.

Notable: Enjoys spending time with family, golf, reading and visiting art galleries. His first job was as a paper boy.

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