Vallourec announces that the share subscription price within the framework of the Value 11 employee share offering has been fixed by the management board.

The unit price of the shares is based on the reference price equal to the average opening Vallourec share price over a period of twenty trading days from October 17th 2011 to 11 November 2011 included, discounted by 20% and rounded up to the immediately higher euro cent.

The average of the opening Vallourec share price during this period was EUR 44.87 and the discounted subscription price has been fixed at EUR 35.90.

The reservation period took place from September 19th 2011 to October 7th 2011 included. The subscription revocation period of the capital increase, open to the beneficiaries of the Value 11 offer, will take place from November 16th 2011 to November 18th 2011 included.

The implementation of the plan may result in the issuance of a maximum number of 2,350,000 new shares and the grant of existing free shares up to a maximum of 20,000 free shares as a substitution of the employer contribution.

If the total demand for shares exceeds the maximum limit of 2,350,000 new shares, all subscriptions for an amount equal to or below the average allocation by country will be fully respected whilst demands above this average will be reduced to ensure that the limit of the operation is not exceeded.

The capital increase will take place on December 15th 2011.

On June 30th 2011, Vallourec announced the launch of an international employee share offering, Value 11, aimed at offering employees throughout the world the possibility to become shareholders of the Group or to increase their interest. The main features of the Value 11 offer are described in Vallourec's press release dated June 30th 2011. To take into account legal restrictions in China, the offer in China will take the form of a cash deposit by employees, to be combined with the attribution of stock appreciation rights by the employer.