SinterCast Interim Report January-September 1998

Interim Report January-September 1998 In line with recent published information SinterCast confidently plans for the start of series production in early 1999 by two world leading automotive engine manufacturers: Caterpillar in the heavy Diesel engine sector and a large European car manufacturer in the passenger car Diesel engine sector. Research that started in 1984 and technical and market development activities that started in 1992 have finally resulted in customer commitments for commercial production of engine components in Compacted Graphite Iron using the SinterCast Process. This process is the only method known and proven suitable for large-scale casting production of complicated engine components built to narrow specifications. The period in brief: Caterpillar, the world's largest manufacturer of medium speed Diesel engines and one of the world's largest manufacturers of high speed Diesel engines, has signed an exclusive agreement with SinterCast regarding series production of large Diesel engine components in Compacted Graphite Iron. The order comprises an installation of a SinterCast System 2000 in Caterpillar's Mapleton foundry in Illinois, USA. The installation will be completed within this year and series production is scheduled to begin in the first quarter of 1999. Three customer installations of the SinterCast System 2000 Process Control Equipment have already taken place in Europe: at VDP in Italy, at Sakana in Spain and at Halberg Guss in Germany. Commercial production of engine blocks for a high performance passenger car Diesel engine is scheduled to commence at Halberg Guss during 1999 for a large European car manufacturer, who for reasons of competition has decided to not disclose its identity at this time. The SinterCast System 1000 installation at Cifunsa, Mexico, which took place in 1996, is used for prototype castings for Cifunsa's customers. Cifunsa's original expectation (SinterCast 1996 Annual Report, page 4) to be in production before the end of 1998 does not seem realistic. ------------------------------------------------------------ Please visit http://www.bit.se for further information The following files are available for download: http://www.bit.se/bitonline/1998/11/09/19981109BIT00070/bit0001.doc http://www.bit.se/bitonline/1998/11/09/19981109BIT00070/bit0002.pdf