FinnvedenBulten expands its operations in Olofström

FinnvedenBulten expands its operations in Olofström

PRESS RELEASE |GOTHENBURG, 1 July 2011.

FinnvedenBulten's division Finnveden Metal Structures has signed an
agreement with Volvo Cars regarding the joining of sub frames in
Olofström. The agreement, which runs at least three years, is a step
towards streamlining customer/supplier relations between the companies.

Since Finnveden Metal Structures' takeover of the factory in Olofström,
Volvo Car Body Components has been renting space in the plant. In order
to streamline operations and increase capacity for joining operations,
Finnveden Metal Structures has today signed an agreement with Volvo Car
Corporation for taking over the assembly of the sub frame for some Volvo
Cars models.

“Discussions have been ongoing for some time and it feels like a natural
step for both operations that we take over the assembly of these
structures. We will continue to deliver sub frames to Volvo Car
Corporation while we also open up the possibility of increased
production in the segment,” says Johan Westman, President and CEO of
FinnvedenBulten.

The equipment, consisting of two welding lines and a processing line,
will be taken over by Finnveden Metal Structures. Training of Finnveden
Metal Structures' staff under VCBC's management has been ongoing for
some time, and will continue throughout the autumn to ensure continued
high quality and delivery precision.

As part of FinnvedenBulten's development of the plant in Olofström, a
decision has also previously been taken to invest in a new 1,500 tonne
press. The purpose is mainly to meet the demands from our customers in
the segment for larger and more complex components and structures,
primarily for commercial vehicles. By this we also strengthen the
company's competitiveness and create opportunities for further growth.

For further information, please contact:
Johan Westman, President and CEO
Tel: + 46 (0)31-734 59 00, e-mail:
media@finnvedenbulten.com (media@finnvedenbulten.com)

NB
The information in this announcement is required to be disclosed by
FinnvedenBulten AB (publ) under the Swedish Securities Markets Act (Sw.
lag om värdepappersmarknaden).

FinnvedenBulten develops and manages industrial businesses, offering
products, technical solutions and systems in metallic materials. The
Group operates as a business partner to international customers in the
engineering industry, primarily the automotive industry. FinnvedenBulten
is structured into two divisions - Finnveden Metal Structures and Bulten
- both with strong positions in their respective customer segments.
FinnvedenBulten is listed on NASDAQ OMX Stockholm. Further information
at www.finnvedenbulten.com (http://www.finnvedenbulten.com/).

Division Finnveden Metal Structures manufactures products in steel,
magnesium and aluminium, or a combination of those materials. The main
manufacturing processes are stamping, die casting and joining. The
components include interior, chassis and body parts for the automotive
industry, as well as customised components for general industry, which
account for a small but growing share of sales.