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Trade Press Release

2008-11-03 Cargotec Receives Major Order in USA


Kalmar RT Center, LLC (KRTC) has been awarded a new 5-year contract to supply its Rough Terrain Container Handler (RTCH) to the Department of Defence. This new contract was awarded by the Tank-Automotive Armament Command (TACOM) in Warren, Michigan and is structured to have multiple delivery order releases over the term of the contract. The value of the initial delivery orders will be over 125 MUSD. KRTC expects to receive additional delivery orders in each of those 5 years. Total value of the 5-year contract is estimated to be approximately 385 MUSD.

The patented Kalmar RTCH is designed to load and unload ISO 20 and 40 foot containers in adverse and rough terrain operating conditions. There have already been over 700 of these machines delivered since the first Kalmar RTCH contract was signed in April 2000. The Kalmar RTCH is in service with the US Army, Navy and Marines plus many of the coalition forces. The RTCH has been called the “C-17 of the Army by more than one field officer because of the proven performance and utility of this special material handling machine.

These machines will be produced in the newly constructed manufacturing facility in the San Antonio, Texas area and will result in 200 new jobs being created in Texas. The new facility will allow KRTC to increase production capacity while supporting United States of America based initiatives such as the Buy American Act and Small Business Plans.

Stan Simpson, President and CEO of Kalmar RT Center, says:

We are proud of the critical role that the RTCH has and will continue to play in the US Army forward mobility. The RTCH is easily transported, highly reliable, and adaptable enough to get the job done in real world environments. We are excited to be bringing a new manufacturing facility and over 200 new jobs to Texas, and proud to continue to be an important partner with the Department of Defence.

Mikael Mäkinen, President and CEO of Cargotec, parent company of KRTC comments:

Kalmar Rough Terrain Container Handler (RTCH) is an important part of Cargotec special products portfolio and is a clear leader in this market segment as well as applications in special commercial settings and humanitarian missions. The increased manufacturing capacity located in Texas is part of Cargotec worldwide efforts to move closer to its customers, solidify the supply chain and increase efficiencies. KRTC will continue to concentrate on product support, logistics, and training for these container handlers and other Cargotec products supplied to the United States military and coalition forces. This new contract, and US manufacturing facility, will strengthen Cargotec position in the North American markets.

More information for the press:
Pekka Vauramo, President, Kalmar
tel. +358 (0)204 55 4873

Minna Karhu, Vice President, Corporate Communications, Cargotec
tel. +358 (0)204 55 4630, mobile +358 (0)40 532 0007

More information for the investors:
Paula Liimatta, IR Manager, Cargotec
tel. +358 (0)204 55 4634

Cargotec improves the efficiency of cargo flows by offering handling systems and the related services for the loading and unloading of goods. Cargotec brands, Hiab, Kalmar and MacGREGOR, are global market leaders in their fields and their solutions are used on land and at sea – wherever cargo is on the move. Extensive services close to customers ensure the continuous usability of equipment. Cargotec is the technology leader in its field, its R&D focusing on innovative solutions that take environmental considerations into account. Cargotec sales exceed EUR 3 billion and the company employs approximately 12,000 people. Cargotec class B shares are quoted on the NASDAQ OMX Helsinki.
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