Gunnebo focuses on security

Gunnebo focuses on security - Letter of Intent regarding divestment of Gnosjö- Gruppen is signed Gunnebo continues to focus on security and has therefore signed a Letter of Intent regarding the divestment of Gnosjö-Gruppen AB. Buyer is the Dutch company Schuttersveld N.V. Schuttersveld is an industrial company listed at the Amsterdam Stock Exchange with its head-office located in Zeist. Schuttersveld develops and manufactures highly advanced plastic and metal components for the automotive industry and trades and distributes semi- finished plastics and sanitary fittings. The turnover of Schuttersveld in 1999 is estimated to some MSEK 5 600 (Euro 650 million). The net profit in 1998 was MSEK 165 (Euro 18,9 million). For 1999 a higher profit is expected. The company has 5 000 employees. The divestment will be made in two steps where 50 % of the shares are to be sold in January 2000 and the remaining 50 % one year later. In total the divestment is calculated to give a capital gain of some MSEK 225 and to decrease the Group's net financial debts with some MSEK 800. The divestment is conditional to normal due dilligence and that a final sales agreement can be signed. The turnover of Gnosjö-Gruppen is some MSEK 1 000 (Euro 115 million) and the company has about 900 employees. The change of ownership is expected to create new business possibilities for Gnosjö-Gruppen as well as for the buyer. Through Schuttersvelds acquisition of Gnosjö-Gruppen a greater strength and synergy effects for expansion and development are achieved. Export possibilities within Gnosjö-Gruppen will improve as Schuttersveld is already an established supplier for the European automotive industry. The organisation, as well as the management of Gnosjö-Gruppen will remain unchanged and the company will form its own business area within the Schuttersveld Group. The divestment of Gnosjö-Gruppen is in accordance with Gunnebo's increased focus on security products. The Group will, after the divestment, have an annual turnover of some MSEK 4 900 (Euro 565 million) of which 80 % from security products. Alfred Berg participates as Gunnebo's financial advisor in connection to the divestment. Göteborg November 2, 1999 GUNNEBO AB Information For further information please contact: Bjarne Holmqvist, President and CEO, tel. +46-(0)31 83 68 00 or Lennart Gustavsson, Senior vice president, Finance, tel. +46-(0)31 83 68 00 Gunnebo is one of the leading manufacturers of physical security products in Europe. The Group has annual sales at the level of some SEK 6 billion (Euro 690 million) and 5 600 employees. ------------------------------------------------------------ Please visit http://www.bit.se for further information The following files are available for download: http://www.bit.se/bitonline/1999/11/02/19991102BIT00050/bit0001.doc http://www.bit.se/bitonline/1999/11/02/19991102BIT00050/bit0002.pdf