KCI Konecranes Agreed on Strategic Acquisition in Germany

KCI Konecranes further advances its presence in Germany by agreeing to acquire the assets of German crane company Kulicke. The deal will be closed in January 2000.

Germany constitutes the largest crane market in Europe. KCI Konecranes' previous entries to the German market have been through the acquisition of MAN SWF in 1997 and Trost & Hilterhaus at the end of 1998. These companies operate mainly within the Standard Lifting Equipment Business Area . The maintenance services activities of both companies have been consolidated into one operation under the name Pro Kran Service, headquartered in Feldkirchen near Munich.

With the Kulicke acquisition KCI Konecranes achieves two important goals. Firstly, Kulicke's crane operations take KCI Konecranes into the German market for heavy duty industrial cranes (part of KCI Konecranes' Special Cranes Business Area). Secondly, Kulicke's service business further strengthens KCI Konecranes' service operations in northern Germany.

The Kulicke crane operations is composed of one crane company in Tegel, Berlin and two service companies, one in Köpenick, Berlin and another in Schwedt. The Kulicke company was originally founded in 1986. Today the company's sales exceed DEM 25 million. Kulicke has over 110 employees.

KCI Konecranes is one of the leading crane companies in the world. The KCI Konecranes' activity is organized along three Business Areas: Maintenance Services, Standard Lifting Equipment and Special Cranes. In 1998, Maintenance Services represented 40 % of Group sales. Standard Lifting Equipment and Special Cranes, represented 32 % and 28 % respectively. In 1998, Group sales were EUR 597 million with well over 4000 employees in 34 countries all over the world.

For further information, please contact:

Markku Leinonen, Executive Vice President,
tel. +358-(0)20 427 2002