Seco Tools makes acquisition in USA

SECO TOOLS MAKES ACQUISITION IN USA Seco Tools is one of the world's leading manufacturers of cemented- carbide tools for metalworking. Continued growth shall be achieved through such measures as expansion within rapidly growing product areas and market niches. As part of this endeavour, Seco Tools has signed a contract for the acquisition of 100 percent of the shares in the US company Tesco Technologies Inc., which is headquartered in Hayes, Virginia. Tesco, with its focus on customers in the die and mold industry growth area, has demonstrated strong sales growth for several years. The company has a well-developed direct sales method and technical support by phone, due to the special nature of this customer segment. Sales currently total approximately SEK 20 M. This acquisition strengthens Seco Tools' position in the die and mold industry, while also adding a sales channel to selected customers in the North American market. Tesco is expected to report continued strong growth in future years, as a result of the company's market knowledge, combined with the competitive product program that Seco Tools offers this segment. The acquisition, which is not subject to approval by the authorities, is expected to generate a positive contribution to earnings per share in the current year. Fagersta, Sweden, January 7, 2004 SECO TOOLS AB; (publ) For additional information, please contact Lars Renström, President and CEO, Tel: +46 223-401 10, Tomas Eliasson, CFO, Tel: +46 223-401 20, or Stefan Sjödahl, Investor Relations, Tel: +46 223-401 32. E-mail can be sent to investor.relations@secotools.com Previously published information is available under the "Investor Relations" section on Seco Tools' website (www.secotools.com). Seco Tools AB's corporate registration number is 556071-1060 and the address is Seco Tools AB, SE-737 82 Fagersta, Sweden. The telephone number to the Head Office is +46 223-400 00. ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2004/01/07/20040107BIT00440/wkr0001.doc http://www.waymaker.net/bitonline/2004/01/07/20040107BIT00440/wkr0002.pdf