Sandvik

Regulatory Filings • Jul 3, 2012

Sandvik enters into a long-term agreement with IBM

Sandvik has entered into a five year strategic agreement, to a value of 2 billion SEK, with the IT and consulting company IBM and will outsource parts of the IT infrastructure services. This is an important step towards strengthening the internal business solution for Sandvik IT and also a vital part in Sandvik's ambition to be a globally integrated company.

The services in scope for this agreement are 'data center services' and 'workplace'. 'Data center services' includes the operation of all server platforms including hardware, application platform software and facilities where servers are placed. 'Workplace' includes all services to manage Office PC's as well as messaging, collaboration, standard applications and second line user support. All tasks within 'workplace' and 'data center services' will be performed by IBM. Under the terms of this agreement IBM will offer employment to Sandvik's resources currently working in these areas.

Sandvik aims to become a more fast-paced, global and customer focused company with greater synergies within IT and other selected areas. This agreement will enable scalability and flexibility in cost, resources and competence for Sandvik. In the long term perspective this will provide an increased cost efficiency and quality of IT services and also secure access to the right skills and competence.

"We are very satisfied to have entered this agreement with IBM and have high expectations on their ability to meet our demands", says Göran Kördel, Chief Information Officer of Sandvik.

Sandviken, 3 July 2012

Sandvik Aktiebolag

Sandvik AB discloses the information provided herein pursuant to the Securities Markets Act and/or the Financial Instruments Trading Act. The information was submitted for publication at 09:00 a.m. on 3 July 2012.

For further information, Göran Kördel, CIO, Sandvik AB, tel +46 26 26 27 01 or Magnus Larsson, Vice President Investor Relations, Sandvik AB, tel: +46 26 26 09 37.

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The Sandvik Group

Sandvik is a global industrial group with advanced products and world-leading positions in selected areas – tools for metal cutting, equipment and tools for the mining and construction industries, stainless materials, special alloys, metallic and ceramic resistance materials as well as process systems. In 2011 the Group had about 50,000 employees and representation in 130 countries, with annual sales of more than 94,000 MSEK.

Postal address Public Company (publ) Telephone Telefax

SE-811 81 SANDVIKEN VAT No. SE663000060901 SWEDEN www.sandvik.com +46 26 26 00 00 +46 26 26 10 43