Atlas Copco to increase drill steel production capacity


Atlas Copco to increase drill steel production capacity

Stockholm, Sweden, April 26, 2007: Atlas Copco will invest MSEK 224 (MEUR 24) in
expanding its production facility for rock drilling tools in Fagersta, Sweden,
to meet expected demand from the mining and construction industries.

“We are currently running the Fagersta plant at full capacity to satisfy the
very strong customer demand, and expect this investment will give us a strong
base for the future,” says Björn Rosengren, President of Atlas Copco's
Construction and Mining Technique business area. “The new advanced machinery
will allow a significant increase in output while maintaining a great deal of
flexibility and reducing operational costs.”

Work on the expansion will begin immediately and full capacity will be available
from the end of the fourth quarter of 2008. The investment entails purchases of
manufacturing equipment as well as adding new floor space to the plant, which is
part of the Secoroc division within Construction and Mining Technique. 

Atlas Copco has experienced a prolonged period of demand from the mining
industry, reflecting a high level of investment activity among customers and the
high price of minerals. The Secoroc division is this year completing an earlier
expansion investment of MSEK 140 at the Fagersta factory, and is also
modernizing machinery at its Ockelbo factory for MSEK 26.




For further information please contact:
Björn Rosengren, Business Area President, Construction and Mining Technique
 +46 (0)8 743 8314 or +46 (0)70 417 8502
Daniel Frykholm, Media Relations Manager 
+46 (0)8 743 8060 or +46 (0)708 65 8060

Atlas Copco is a world leading provider of industrial productivity solutions.
The products and services range from compressed air and gas equipment,
generators, construction and mining equipment, industrial tools and assembly
systems, to related aftermarket and rental. In close cooperation with customers
and business partners, and with more than 130 years of experience, Atlas Copco
innovates for superior productivity. Headquartered in Stockholm, Sweden, the
Group's global reach spans more than 150 markets. In 2006, Atlas Copco had 25
900 employees and revenues of BSEK 51 (BEUR 5.6). Learn more at
www.atlascopco.com.

Atlas Copco Secoroc is a division within Atlas Copco's Construction and Mining
Technique business area. It develops, manufactures and markets rock drilling
tools worldwide. Its products are used for rock excavation within the mining and
construction business for both surface and underground applications. The
division is headquartered in Fagersta, Sweden and has production in six
continents

Attachments

04262117.pdf