Wärtsilä acquires German ship design company Schiffko

Wärtsilä Corporation, Press release, 7 December 2006 at 15:00 UTC+2

Wärtsilä Corporation has signed an agreement to acquire the German ship design company group SCHIFFKO. SCHIFFKO is privately-owned and today has annual net sales totalling approximately EUR 4 million and some 25 employees.

SCHIFFKO specializes in the planning and design of ships especially in the container, research and offshore vessel segments. It also provides consultancy including project management and also all kinds of supervisory work for shipowners and shipyards utilizing SCHIFFKO’s extended global maritime network of partners and experts. The company has a strong reputation and market position in these segments. SCHIFFKO is located in Hamburg, Germany, but operates globally.

According to Mr Jaakko Eskola, Group Vice President, Ship Power, Wärtsilä Corporation, the acquisition supports Wärtsilä’s strategic focus to grow as a system integrator and provider of total solutions to the shipping and shipbuilding market. The acquired business will add ship design expertise to Wärtsilä’s wide product and service offering. The acquisition of SCHIFFKO supports the development of Wärtsilä’s low-speed engine business in Asia and especially in the Chinese market.

Commenting on the transaction, Mr Berend Pruin, Chairman of SCHIFFKO and chief representative of its shareholders, stated: “We think our customers will benefit markedly from the broader offering and resources the Wärtsilä network brings. For SCHIFFKO’s design business, its customers and our employees, the acquisition will offer enhanced opportunities as part of Wärtsilä’s total service offering and global network.”

SCHIFFKO has 50 years experience in planning and design in the marine field. It has been involved in far more than 2500 ship design projects in 60 countries over the world. The SCHIFFKO group of companies includes SCHIFFKO GmbH Forschung und Entwicklung maritimer Systeme and SCHIFFKO GmbH Multifunktionales Ingenieurbüro als Maritimes Innovationszentrum (SCHIFFKO).

The deal is planned to close in Q4 2006.

For further information, please call Mr Jaakko Eskola, Group Vice President, Ship Power, Wärtsilä, tel +358 10 709 5634 or Ms Eeva Kainulainen, VP, Corporate Communications, Wärtsilä, tel. +358 10 709 5235.

Wärtsilä in Brief:

Wärtsilä enhances the business of its customers by providing them with complete lifecycle power solutions. When creating better and environmentally compatible technologies, Wärtsilä focuses on the marine and energy markets with products and solutions as well as services. Through innovative products and services, Wärtsilä sets out to be the most valued business partner of all its customers. This is achieved by the dedication of more than 13,000 professionals manning 130 Wärtsilä locations in close to 70 countries around the world.