CRAMO PLC INVESTOR NEWS 25TH AUGUST 2008 AT 10.00 HOURS
CRAMO EXPANDS IN DENMARK THROUGH AN OUTSOURCING DEAL WITH MSE A/S
Equipment rental company Cramo A/S, the Danish wholly-owned subsidiary of Cramo
Plc, has signed an agreement whereby Cramo takes over the existing machine fleet
of MSE A/S. The deal includes a cooperation agreement which makes Cramo the main
equipment rental supplier of MSE A/S for a minimum period of five years. No
personnel or real estate is included in the deal. The impact of the deal on
Cramo A/S's revenues is approximately 4.5 MDKK (0.6 MEUR) in the first year.
Cramo A/S is one of Denmark's leading equipment rental companies with a complete
portfolio of rental products and services, which are offered through 21 depots
covering most parts of the country. MSE is a local construction company, located
in Falster, with Lolland/Falster and south Zealand as the primary business
areas.
Cramo's Danish operations have grown rapidly during the past three years through
acquisitions and depot openings in major industrial areas.
“The outsourcing deal is important as it gives us a strong foothold in the
region with a leading position in Lolland/Falster,” says Ole Wamsler, Managing
Director of Cramo A/S. “It gives us an immediate access to larger volumes with a
strong customer we know well. Furthermore, it also gives us a well-maintained
rental fleet, consisting primarily of construction machinery and site huts.”
“By outsourcing the equipment to Cramo we expect to lower our cost for machinery
and equipment, and at the same time, gain access to Cramo's wider product range.
Through Cramo's depot network we will also get better availability and
efficiency in the supply of equipment to support the continued growth of our
core construction business,” says Jan Sörensen, Managing Director of MSE A/S.
CRAMO PLC
Vesa Koivula
President and CEO
Further information
Ole Wamsler, Managing Director Cramo A/S (Denmark), +45 2814 0648
Martti Ala-Härkönen, CFO, Cramo Plc, tel. +358 40 737 6633
Distribution
Helsinki Stock Exchange
Major media
www.cramo.com
Cramo is a service company specialising in construction machinery and equipment
rental and rental-related services, as well as the rental and sale of modular
space. As one of the industry's leading service providers in the Nordic
countries and Central and Eastern Europe, Cramo operates in eleven countries
with some 300 depots. With a group staff of 2.700, Cramo's consolidated sales
for 2007 totalled EUR 496 million and its shares are listed on the OMX Nordic
Exchange, Helsinki. For further information, please visit www.cramo.com.
For more information about the Danish operation see www.cramo.dk