April 30, 2008
12:30 CET
Rautaruukki sells its German precision tube unit
Rautaruukki Oyj Stock exchange release 30 April 2008 at 13.30
Rautaruukki is selling its German precision tube and automotive component
processing unit Carl Froh GmbH to the German company Arques Industries AG. Carl
Froh GmbH is based in Sundern, Germany and had net sales of EUR 58 million in
2007. The company employed around 200 people at year-end 2007.
This transaction is part of Ruukki's strategy, whereby Ruukki Metals focuses on
special products in the Central and Southern European markets. Carl Froh is not
part of Ruukki's core business and acquires almost all of its raw material from
outside suppliers.
Rautaruukki will recognise a loss during the second quarter of around EUR 6
million on the transaction. The transaction will have a positive impact of
about EUR 16 million on Rautaruukki's cash flow.
Completion of the transaction requires final regulatory clearance from the
German authorities. The transaction is expected to be closed in May-June 2008.
Arques Industries AG is an investment company and listed on the Frankfurt Stock
Exchange.
For further information, please contact:
Mikko Hietanen, CFO, tel. +358 20 529 9030
Olavi Huhtala, President, Ruukki Metals, tel. + 358 20 59 29157
Rautaruukki Corporation
Anne Pirilä
SVP, Corporate Communications and Investor Relations
Rautaruukki supplies metal-based components, systems and integrated systems to
the construction and engineering industries. The company has a wide selection
of metal products and services. Rautaruukki has operations in 24 countries and
employs 14,600 people. Net sales in 2007 totalled EUR 3.9 billion. The
company's share is quoted on the OMX Nordic Exchange Helsinki (Rautaruukki Oyj:
RTRKS). The Corporation uses the marketing name Ruukki.
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OMX Nordic Exchange Helsinki
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www.ruukki.com