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Sector
Technology
Size
Small Cap
Market Cap £199.3m
Enterprise Value £197.5m
Revenue £67.3m
Position in Universe 712th / 1830

THE ESTIMATED COST SAVINGS FROM TEMPORARY LAYOFFS IN ELEKTROBIT CORPORATION'S (EB) WIRELESS BUSINESS SEGMENT WILL BE APPROXIMATELY EUR 0.8 MILLION

Fri 15th November, 2013 2:00pm

http://pdf.reuters.com/htmlnews/8knews.asp?i=43059c3bf0e37541&u=urn:newsml:reuters.com:20131115:nHUGdnQ9


STOCK EXCHANGE RELEASE


Free for publication on November 15, 2013, at 4.00 pm. (CET+1)


THE ESTIMATED COST SAVINGS FROM TEMPORARY LAYOFFS IN ELEKTROBIT CORPORATION'S (EB) WIRELESS
BUSINESS SEGMENT WILL BE APPROXIMATELY EUR 0.8 MILLION

Elektrobit Corporation (EB) has today concluded measurements started on August 8, 2013 to adjust
its cost level in its Wireless Business Segment. With these measurements, EB estimates to achieve
approximately EUR 0.8 million cost savings, which are expected to materialize mainly during the
fourth quarter 2013. The company has temporarily laid off 74 employees full or part time for a
maximum of 90 days. The company has today decided that no further temporary layoffs will be
implemented. Due to the more precise outlook towards the end of the year in Wireless Business
Segment, it has been possible to reduce the amount of the temporary layoffs from the maximum
amount estimated earlier.

EB started cost saving measures targeting EUR 1.5 million cost savings in Wireless Business
Segment in August 2013 to adjust the its cost level to correspond the weakened demand outlook by
temporarily laying off a maximum of 150 employees full or part time for a maximum of 90 days in
Wireless Business Segment. The underlying reasons for the layoffs are the decreased order volume
for the second half of 2013 from a large customer of EB, and delays in some special terminal
projects. EB targets to achieve a higher order volume by the beginning of 2014.

The reduced need for temporary layoffs and thereafter the more precise estimate of the cost
savings will not affect company's outlook for 2013 or Wireless Business Segment's outlook for the
second half of 2013 given in the interim report January-September 2013. The interim report is
available in the company's web page at www.elektrobit.com/investors
http://www.elektrobit.com/investors . 

Currently 510 employees are employed in Wireless Business Segment. The temporary layoffs concern
employees working at all EB's sites in Finland, which are Kajaani, Oulu and Tampere. The temporary
layoffs have been executed gradually according to the actual capacity requirements and are
estimated to last no longer than until the end of January 2014.

Oulu, November 15, 2013

Elektrobit Corporation
Jukka Harju
CEO

Further information:

Hannu Huttunen
President of the Wireless Business Segment
Tel. +358 40 344 3507

Distribution:

NASDAQ OMX Helsinki
Principal media

Elektrobit (EB)
EB creates advanced technology and turns it into enriching end-user experiences. EB is specialized
in demanding embedded software and hardware solutions for wireless and automotive industries. The
net sales from continuing operations in 2012 totaled MEUR 185.4. Elektrobit Corporation is listed
on NASDAQ OMX Helsinki. www.elektrobit.com http://www.elektrobit.com/ 



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This announcement is distributed by Thomson Reuters on behalf of Thomson Reuters clients.

The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and other applicable laws; and
(ii) they are solely responsible for the content, accuracy and originality of the
information contained therein.

Source: Elektrobit Oyj via Thomson Reuters ONE


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