Acquisition

Bodycote International PLC 23 August 2000 For further information, please contact: John Chesworth, Managing Director Bodycote International plc Tel: 01625 505300 Bodycote International plc Bodycote International plc, the world's leading supplier of metallurgical services to industry, announces the acquisition of key assets from Saurer Group of Switzerland. Barmag AG, a wholly owned subsidiary of Saurer, has sold its heat treatment assets to Bodycote for a total consideration of £146,000 (DM456,000), paid in cash. In 1999, these assets generated revenues and operating profits of £833,000 (DM2.3m) and £152,000 (DM476,000). The assets themselves are valued at £118,000 (DM369,000). Ownership of these assets will allow Bodycote to provide Barmag with a cost effective solution to its heat treatment requirements which are primarily located in the automotive, tooling and textile industries in Germany. Located near Cologne, the Barmag assets are complementary to Bodycote's existing Sprockhovel and Cologne operations. The combination should provide considerable cost and production efficiencies in addition to allowing Bodycote access to Barmag's external customers. Commenting on the announcement, John Chesworth, Chief Executive, stated. 'Barmag is another example of Bodycote's ability to provide mutually beneficial outsourcing solutions within metallurgical services. It also highlights our continued drive for cost and production efficiencies through scale and planning. We expect these assets to provide key synergies with our existing operations within a short period of time.'

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Bodycote (BOY)
UK 100

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