Earnings Release • Nov 19, 2007
Earnings Release
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Following the start of series production of commercial vehicle cylinder blocks for Hyundai, MAN Nutzfahrzeuge and Volvo Powertrain, plus record production volumes for each of the five passenger vehicle V-diesel cylinder blocks produced for Audi-Volkswagen, Ford-PSA Peugeot Citroën and Hyundai, SinterCast posted its highest monthly series production volume during October 2007, with an annualised production rate in excess of 600,000 Engine Equivalents. The increased production was realised by a rapid ramp-up of the commercial vehicle programmes and a high demand for passenger vehicle engines following the summer shut-down period at some foundries. Although production volumes may fluctuate with vehicle demand, seasonal considerations and new programme launches, the company regards the overall growth trend as positive.
During the 16-25 November 2007 Los Angeles Auto Show, Audi launched the Cross Cabriolet quattro concept car, featuring the world's cleanest diesel engine. The 3.0 litre V6 TDI, based on a SinterCast-CGI cylinder block produced at the Tupy foundry in Brazil, is equipped with an ultra low emissions system that complies with US emissions legislation in all 50 states. Installed in the Cross Cabriolet quattro, the V6 engine provides 240 horsepower, 500 Nm of torque and a 0-100 km/hr acceleration time of 7.2 seconds. With a combined highway and city fuel economy of 38.6 mpg (6.1 litres/100 km), the CGI-blocked 3.0 litre V6 TDI helps Audi to meet its pledge of a 20% reduction in CO2 emissions across its entire vehicle fleet by 2012. The planned introduction of the 3.0 litre V6 in Audi and Volkswagen vehicles in the US during late-2008 is destined to provide increased volumes for this SinterCast-CGI cylinder block.
Dr Steve Dawson, President & CEO of SinterCast said: "We are pleased to have had a record production month for virtually every programme during October. The annualised production volume of over 600,000 Engine Equivalents represents a penetration of approximately 6% of SinterCast's primary target market for passenger vehicle V-diesels and commercial vehicles. This high volume production of SinterCast-CGI serves as an excellent reference for the robustness and reliability of the SinterCast process control technology while still providing significant growth potential within our core market."
Stockholm, 19 November 2007
For more information contact:
Dr. Steve Dawson President & CEO SinterCast AB (publ) Box 10203 SE-100 55 Stockholm Sweden Tel: +46 8 660 7750 Fax: +46 8 661 7979 e-mail: [email protected] website: www.sintercast.com
SinterCast is the world's leading supplier of process control technology for the reliable high volume production of Compacted Graphite Iron (CGI). With at least 80% higher tensile strength, 45% higher stiffness and approximately double the fatigue strength of conventional grey cast iron and aluminium, CGI allows engine designers to improve performance, fuel economy and durability while reducing engine weight, noise and emissions. SinterCast produces a variety of CGI components ranging from 8 kg to 17 tonnes, all using the same process control technology. The endusers of SinterCast-CGI components include Aston Martin, Audi, Caterpillar, DaimlerChrysler, Ford, General Electric Transportation Systems, General Motors, Hyundai, International Truck and Engine, Jaguar, Land Rover, MAN, MAN B&W Diesel, PSA Peugeot-Citroën, Rolls-Royce Power Engineering, Toyota, Volkswagen, Volvo and Waukesha Engine. The SinterCast share is quoted on the Small Cap segment of the Nordic Exchange, Stockholm (Stockholmsbörsen: SINT).
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