SinterCast Annual General Meeting 2011
[Stockholm, 19 May 2011] - The SinterCast AB (publ) Annual General Meeting (AGM)
was held on 19 May 2011 in Stockholm. During the AGM, presentations were
provided by Mr Jeffrey Breneman, Executive Director of the United States
Coalition for Advanced Diesel Cars (USCADC) and by Dr Steve Dawson, President &
CEO. The recorded presentations will be available on the SinterCast website on
or before Tuesday 24 May.
Mr Breneman noted that US consumer awareness of advanced diesel passenger cars
as a clean and fuel efficient alternative vehicle technology had grown
considerably over the last five years and stated that near-term diesel
penetration in the US market was forecast to grow from 4.6% in 2010 to 10% in
2015. Although the overall diesel penetration remains low, Mr Breneman showed
that, when a diesel option was available, the 2010 diesel take rate for
passenger vehicles was 30% while the take rate for pick-ups was 63%. Later this
year, the State of California is scheduled to finalise the LEV III tailpipe
emission standards and the federal government will propose CAFE standards for
2017-2025 that may require fleet averages as high as 62 mpg by 2025. Once
finalised, the US will experience a 12 year period with defined and fixed
emissions legislation and requirements for significant gains in vehicle fuel
economy. This regulatory stability, combined with the need to meet much
stricter fuel efficiency standards in the near term, will provide OEMs with a
favourable climate to design and launch diesel vehicles with the confidence that
investments can be recovered and profits can be realised. Mr Breneman confirmed
the Coalition's belief that the modern diesel engine should be an important part
of realising the goal of reduced petroleum use and reduced CO2 emissions, and
that diesel is the only technology that can meet the government's objectives
today, with no need for infrastructure investment. Mr Breneman committed to
continuing to campaign for technology neutral policies that empower consumers to
choose the technology that best suits their driving needs.
During the CEO presentation, Dr Dawson presented an overview of recent market
activities and provided an outlook for SinterCast's potential market
development. Dr Dawson's presentation showed that the series production volume
continues to increase and that the annualised volume has increased by 55% since
the last AGM. The 46 components that are currently in series production have a
mature potential of approximately 1.55 million Engine Equivalents, so it is
expected that the series production growth will flatten during the second half
of 2011 and that further growth will arise as new products come on stream. In
addition to the growth in series production, the Company continues to have a
positive outlook for new installation opportunities in 2011. Building on the
Daedong System 3000 installation in January and the DaeShin Mini-System 3000
installation announced on 17 May, the Company continues to target five
installations for the full year.
In closing, Dr Dawson confirmed that the increase in series production, the
increased field activities, and the new installation opportunities, have
provided a great sense of accomplishment and satisfaction for the SinterCast
employees. The Company has expanded its sales and marketing resources in order
to promote and secure new growth opportunities and will continue to review its
manning to ensure that it has the necessary resources to serve the market demand
and realise the longstanding goal of millions of SinterCast-CGI vehicles on the
roads.
During the AGM, Ulla-Britt Fräjdin-Hellqvist, Aage Figenschou, Andrea Fessler,
Robert Dover and Steve Dawson were re-elected as Board members and Laurence
Vine-Chatterton was elected as a new member of the Board. Ulla-Britt Fräjdin-
Hellqvist was re-appointed as Chairman. The AGM also decided upon the
constitution of the Nomination Committee until the next AGM, comprised of Ulla-
Britt Fräjdin-Hellqvist, Lars Ahlström, with the primary responsibility to
represent large shareholders, and Torbjörn Nordberg, with the primary
responsibility to represent small shareholders. All of the proposals presented
to AGM were approved by the shareholders.
For and on behalf of the Board of Directors:
Ulla-Britt Fräjdin-Hellqvist Steve Dawson
Chairman President & CEO
Tel: +46 8 660 7750 Tel: +46 8 660 7750
e-mail: u-b.frajdin-hellqvist@sintercast.com e-mail: steve.dawson@sintercast.com
SinterCast is the world's leading supplier of process control technology for the
reliable high volume production of Compacted Graphite Iron (CGI). With at least
75% higher tensile strength, 45% higher stiffness and approximately double the
fatigue strength of conventional grey cast iron and aluminium, CGI allows engine
designers to improve performance, fuel economy and durability while reducing
engine weight, noise and emissions. The SinterCast technology is used for the
production of more than 40 CGI components, ranging from 2 kg to 17 tonnes, all
using the same proven process control technology. The end-users of SinterCast-
CGI components include Aston Martin, Audi, Caterpillar, Chrysler, DAF Trucks,
Ford, Ford-Otosan, General Electric Transportation Systems, General Motors,
Hyundai, Jaguar, Kia, Land Rover, MAN, Navistar, Porsche, PSA Peugeot-Citroën,
Renault, Rolls-Royce Power Engineering, Scania, Toyota, Volkswagen, VM Motori,
Volvo and Waukesha Engine. The SinterCast share is quoted on the Small Cap
segment of the NASDAQ OMX stock exchange (Stockholmsbörsen: SINT). For more
information:http://www.sintercast.com
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