Cargotec wins breakthrough Siwertell contract from the steel industry

CARGOTEC CORPORATION, PRESS RELEASE 23 NOVEMBER 2012 AT 10 AM EETIn November, Cargotec secured a breakthrough contract for two large Siwertell coal unloaders from Formosa Petrochemical Corporation (FPC), part of the Formosa Plastics Group. The unloaders will be the largest that Cargotec has delivered so far and may start a trend that sees more steel plants using Siwertell machines for dedicated coal unloading.

The equipment will be delivered to Formosa Plastics Group's newly-built Ha Tinh steel plant in Vietnam's Son Duong Port during the last quarter of 2014. Each ST 940-DOB unloader will be feeding coal with a rated capacity of 2,400t/h.

"Siwertell systems can deliver huge cost savings - in the region of $2.5 to $3 million per year for this particular operator - in comparison to traditional systems, because ships will spend much less time at the unloading berth," says Per Karlsson, President for Bulk Handling Business Line. "Until now the industry has been reluctant to invest in separate intake systems for coal and iron ore, however, savings on this scale cannot be ignored and we are confident that this order will start a trend that sees more steel plants using Siwertell machines for dedicated coal unloading.

"In a competitive international bidding process, we offered the customer the most efficient unloading system with a high through-ship capacity, which will deliver huge cost savings and also provide a clean, dust-free operating environment; all at a competitive price," notes Mr Karlsson.

The steel plant is owned by Formosa Plastics Group's daughter company Formosa Ha Tinh Steel Corporation; its annual intake of coal is estimated to be about 7.8 million tonnes. The unloaders are expected to be operational by mid-2015 and will be erected on site with their main system components coming from Europe, and steel structures from Vietnam.

Further information for the press:
Per Karlsson, President, Bulk Handling, tel. +46706 885805
Heli Malkavaara, Communications Director, Marine, tel. +358 2 4121 252

Further information for investors:
Paula Liimatta, Director, Investor Relations, tel. +358 20 777 4084

Caption: Siwertell systems can deliver huge cost savings in comparison to traditional systems (pictured: Siwertell coal unloaders in Yonghung, Korea)

Cargotec improves the efficiency of cargo flows on land and at sea - wherever cargo is on the move. Cargotec's daughter brands, Hiab, Kalmar and MacGregor are recognised leaders in cargo and load handling solutions around the world. Cargotec's global network is positioned close to customers and offers extensive services that ensure the continuous, reliable and sustainable performance of equipment. Cargotec's sales totalled EUR 3.1 billion in 2011 and it employs approximately 10,500 people. Cargotec's class B shares are quoted on NASDAQ OMX Helsinki under symbol CGCBV. www.cargotec.com