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FLSmidth signs material handling contract in Germany

Company Announcement to the Danish Financial Supervisory Authority No. 3-2009, 12 March 2009

FLSmidth Minerals has signed a contract worth close to 40m euros (DKK 300m) with German-based Hoesch Spundwand und Profil GmbH (HSP). The equipment to be supplied is part of HSP's modernisation of its Dortmund sectional steel production plant.
Material handling equipment is a rapidly growing market for FLSmidth. To FLSmidth, it is a focus area that offers many opportunities to its Cement and Minerals activities. The contract just signed in Germany comes in the wake of last month's acquisition of Conveyor Engineering, the USA-based provider of major bulk material handling systems.
The scope of supply, which utilises the German product competencies acquired by FLSmidth with the previous acquisitions of the material handling companies KOCH and MVT, includes a roll stand, a saw and associated conveying systems consisting of roller tables, cross transfer and roll changing devices, spindle carriers and movable guide frames. Civil work, electrical, hydraulic and automation equipment are also included in the contract.
The high demand for steel sheet piles has made modernisation of HSP's production facilities necessary. The FLSmidth equipment will allow HSP to expand its current product portfolio and thus improve HSP's market position.
"The contract underlines the potential of the material handling market and the advantage of FLSmidth's diversity in mining and minerals equipment since many European rolling mill plants are needing modernisation to compete on a worldwide basis," Group CEO Jørgen Huno Rasmussen comments.
This product line was introduced in the FLSmidth Group with the acquisition of KOCH Transporttechnik in 2006.
The contract will contribute beneficially to FLSmidth's earnings until the equipment has been commissioned in late 2010.
Please address any questions regarding this announcement to Group Executive Vice President and CFO Poul Erik Tofte, FLSmidth & Co. A/S at +45 36 18 18 00.
For further information about FLSmidth, please visit
Yours faithfully

Pernille Friis Andersen
Corporate Communications & Investor Relations