Kitron — M&A Activity 2015

Jun 11, 2015

Kitron signs frame agreement with SAAB AB, business unit Avionics Systems

Kitron signs frame agreement with SAAB AB, business unit Avionics Systems

(2015-06-11) Kitron's subsidiary Kitron AB in Jönköping, Sweden, has signed a

strategically important long-term frame agreement with Saab AB (Business Unit

Avionics Systems) for military avionics and aeronautic electronic equipment.

The frame agreement has potential order value of more than 400 million NOK over

20 years.

The equipment to be supplied by Kitron is to be incorporated by Saab in current

and future avionics contracts globally. Kitron will supply assembled electronic

circuit boards for military and civil products, and production will be done in

Jönköping.

Ronny Nykvist, Vice President and Head of Avionics Systems at Saab AB, said:

"It is with great satisfaction that we award this long-term agreement to Kitron.

Kitron AB in Jönköping has performed very well during the prototype and new

product introduction (NPI) phases. Saab Avionics Systems' business within high-

integrity equipment and systems for flight and mission critical applications for

aircraft and helicopters is currently progressing well. Kitron AB in Jönköping

has provided us with consistent quality, high level of competence within

production, assembly and testing, and not least delivery precision. This

agreement is a very good example of how the Swedish industry can cooperate and

win global defence and civil aeronautics orders in the face of tough

international competition."

Thomas Löfgren, Managing Director of Kitron AB, said:

"We are extremely pleased that Saab has chosen Kitron for this long-term

agreement, and we are looking forward to supply Saab with further highly complex

electronic products for its avionics systems based on the mutual cooperation so

far on prototypes and NPI services. In recent years we have enhanced our

competence and made substantial investments in order to meet the requirements of

the defence and aerospace market sector. This is an important sector to us, and

we are thrilled that Kitron in Sweden is able to partner with Saab, a major

force within the sector."

For further information please contact:

Peter Nilsson, CEO Kitron ASA, tel. + 47 948 40 850 or e-mail

peter.nilsson@kitron.com

Thomas Löfgren, Managing Director Kitron AB, tel. +46 708 89 53 26 or e-mail

thomas.lofgren@kitron.com

Kitron is one of Scandinavia's leading electronics manufacturing services

companies for the Defence/Aerospace, Energy/Telecoms, Industry, Medical

equipment and Offshore/Marine sectors. The company is located in Norway, Sweden,

Lithuania, Germany, China and the United States. Kitron had revenues of about

NOK 1.75 billion in 2014 and has about 1 200 employees. www.kitron.com

This information is subject of the disclosure requirements pursuant to section

5-12 of the Norwegian Securities Trading Act.

[HUG#1927790]