justify,Gurit reports 15.4% higher net sales for first 9 months of 2012, but a reduced outlook for the global Wind Energy market calls for restructuring

Zurich/Switzerland, October 26, 2012. Gurit reports 15.4% higher net sales of CHF 287.2 million for the first 9 months of 2012 over the same prior-year period, driven by a strong progression in Wind Energy, Automotive and Marine sales. The recently reduced outlook in the Wind Energy market, especially in the US and China, suffering from over-capacities, price pressure and the expiry of the US tax incentives, forces Gurit to adapt its production capacity. Gurit therefore mothballs its prepreg production in Canada and China and reduces its global work-force by some 150 employees. The related restructuring costs, including impairment charges for fixed assets, mainly, are estimated to amount to approximately CHF 12 million, of which some CHF 3 million will be cash effective. Net sales for the full year 2012 are expected to be around CHF 355 million and the full year operating profit margin including all restructuring charges is forecast to be in the range of 2 to 4% of net sales. Excluding all the one-off charges, the operating profit margin for the full year should, however, almost reach the guidance provided earlier.

For 2013, Gurit expects significantly lower sales to the Wind Energy market, but a strongly growing Automotive business thanks to additional customers and larger car body part series, as well as increased material shipments for industrial applications in Business Unit Marine and some upside potential in Aerospace. The component business around Engineered Structures is also expected to grow markedly, pursuing opportunities on tidal turbines, composite parts for modular bridges and light-weight applications for buses. Gurit’s Tooling business suffered in 2012 from the low investment activity in the Wind Energy market, but is expected to recover slightly compared with 2012, and is exploring opportunities beyond the Wind Energy market.