Componenta invests in new surface treatment plant for cast components in Sweden
Componenta Corporation Stock Exchange Announcement 2.9.2005 at 11.30
Componenta invests in new surface treatment plant for cast components in Sweden A new EUR 5 million plant for surface treating cast components for the vehicle industry was commissioned on 2 September 2005 at Componenta Främmestad. The new plant represents the latest in process technology and reinforces Componenta's strategic position as a worldclass component supplier. The new high efficiency plant will improve the quality of products and reduce the environmental impact of production. The investment will increase production capacity, and once this is in full use it is also expected to result in new jobs at Componenta Främmestad. The Främmestad surface treatment plant is an important link in the Componenta chain of casting, machining, pre-assembly, hardening and surface treatment. It boosts the Group's competitive edge in the global market among suppliers of components to heavy truck manufacturers. "We can now offer our customers several state-of-the-art coating processes that help customers optimize the quality of their end products," says Karl-Gustav Setterberg, Business Unit Manager of Componenta Främmestad. He adds that the new surface treatment plant gives Componenta outstanding possibilities now and in the future - for being the preferred cast component supplier for vehicle manufacturers. In the surface treatment plant, the cast and machined components are pretreated in zinc and manganese in a 12-phase process, which cleans the items in preparation for surface treatment. Customers can then choose to have the components primed with water-based paint or using the new ED (electrodialysis) process. Priming with ED paint is a means of giving even items with complex geometric shapes a high quality painted surface. The components are dipped in an electrolyte bath which gives them a consistent, fault-free painted surface. To finish off, the components can be powder coated in the customer's specific colours. "The investment at Främmestad is strategically important," says Componenta Group President and CEO Heikki Lehtonen. "We have invested in new process technology in line with customer demand and believe that this will help us increase sales of the Group's products and services and improve our market position." Componenta Främmestad is the largest of Componenta's machine shops. It manufactures and supplies machined, surface-treated and pre assembled cast components for the heavy truck industry. Austempering - creating ADI (Austempered Ductile Iron) - also takes place at Componenta Främmestad. ADI is a lightweight, wear-resistant material option for certain components. Helsinki, 2 September 2005 COMPONENTA CORPORATION Heikki Lehtonen President and CEO FURTHER INFORMATION Heikki Lehtonen Karl-Gustav Setterberg President and CEO Business Unit Manager, Componenta Främmestad tel. +358 10 403 00 tel. +46 512 578 00, +46 70 550 4395