* Operating Revenues of EUR 132.0 Mill were 8.2% lower than last year, but sales plus orders in hand are almost at the same level as in 2005. * EBIT was EUR 6.8 Mill against EUR 16.4 Mill in the same period last year. This gives an EBIT margin of 5.2% and 11.4% respectively. * 1st quarter results include a EUR 3.8 Mill restructuring charge related to the closure of the Gottmadingen plant in Germany. * The order intake was EUR 8.6 Mill (approx. 7.5%) higher than in the same period last year. * Restructuring processes at Klepp, Cognac and Gottmadingen are proceeding according to plan. * The Group has decided to start an assembly plant in Russia for Conservation Tillage products.
Establishment of New Plant in Russia Kverneland Group has decided to start up an assembly plant in Russia for Conservation Tillage products. Production will initially be high capacity air seeders for the markets in Russia and CIS and start of test production is planned for the 4th quarter in 2006.
The plant will be located in Lipetsk, approx. 450 km south east of Moscow. The Lipetsk region has significant production of steel and long traditions within mechanical industry. The region is also located inside the fertile black soil belt which is one of the most interesting market areas for products offered by the Kverneland Group.
+--------------------------------------------------------------------+ |For further information: | |Ingvald Løyning, President & CEO Mobile: +47 905| |40 855 | |Leiv O. Kallestad, CFO Mobile: | |+47 958 95 661 | |E-mail: | |[email protected] | | You will also find Kverneland Group on the Internet | | Internet: http://www.kvernelandgroup.com | +--------------------------------------------------------------------+
