Componenta Oyj — Regulatory Filings 2021

Oct 13, 2021

Componenta Castings Ltd to end restructuring programme prematurely

Componenta Castings Ltd to end restructuring programme prematurely

Componenta Corporation Inside information on 13 October 2021 at 5 pm

The District Court of Helsinki affirmed the restructuring programme of
Componenta Corporation’s (“Componenta”) fully-owned subsidiary Componenta
Castings Ltd (“Componenta Castings”) on 23 August 2017. The payment programme of
the restructuring programme commenced in May 2019 and will end in November 2023.

Componenta Castings has together with Componenta evaluated the grounds and
prerequisites under which Componenta Castings could prematurely end the
restructuring programme in accordance with its terms and conditions. The
premature ending of the restructuring programme requires Componenta Castings to
repay its creditors the unpaid part of their reduced restructuring debts added
with the supplemental payment obligation arising from the restructuring
programme. The current amount of unpaid restructuring debts under the
restructuring programme is approximately EUR 6.1 million, consisting of
approximately EUR 3.6 million external restructuring debts and EUR 2.5 million
intra-group restructuring debts.

In deviation from the restructuring programme, Componenta Castings has proposed
to its restructuring creditors the repayment of 90 percent of the unpaid reduced
restructuring debt as a lump sum payment to finally repay all restructuring
debts and prematurely end the restructuring programme. Componenta Casting’s
proposal has been accepted by restructuring creditors representing over 91
percent of the unsecured restructuring debts of Componenta Castings.

The Board of Directors of Componenta has today decided to carry out the
aforementioned payments, amounting to EUR 3.4 million to external creditors and
EUR 2.2 million to intra-group creditors, and prematurely end the restructuring
programme. The intra-group restructuring debts of Componenta Castings shall be
settled by converting them entirely into a new loan.

The repayment of restructuring debts is expected to take place during October. A
net profit of approximately EUR 0.2 million will be realised for the group in
connection with the repayment, as external restructuring debts with a book value
of EUR 3.6 million shall be repaid with EUR 3.4 million. The profit will be
entered into the financial items of continued operations of the group. The final
amounts may differ from that specified here depending on the final extent of
creditors approving Componenta Casting’s proposal.

The premature ending of the programme will be financed with the cash reserves of
the Componenta Group. The restructuring programme is considered ended when the
supervisor of the restructuring programme has approved the payments and has
provided creditors with the supervisor’s final account. This is expected to take
place in October. Componenta will issue separate stock exchange releases in
connection with the repayment of Componenta Castings’ restructuring debts and
the completion of the supervisor’s final account.

COMPONENTA CORPORATION
Sami Sivuranta
President and CEO

For further information, please contact:
Sami Sivuranta, President and CEO, tel. 010 403 2200
Marko Karppinen, CFO, tel. 010 403 2101

Componenta Corporation is an international technology company and Finland's
leading contract manufacturer in the machine building industry. Sustainability
and customer needs are at the core of the company’s broad technology portfolio.
Componenta Corporation manufactures components for its customers, which are
global manufacturers of machinery and equipment. The company’s stock is listed
on the Nasdaq Helsinki. www.componenta.com