Trelleborg — M&A Activity 2011

Feb 17, 2011

Press release Trelleborg, February 17, 2011

Trelleborg makes acquisition for expansion in the Chinese market for specialty tires

Trelleborg has acquired an operation in Xingtai (Hebei), in eastern China, to facilitate the Group's expansion in the Chinese market for specialty tires, primarily agricultural tires.

Trelleborg has acquired an existing facility from a Chinese company, part of the US Group Main Industrial Tire LLC, and will also take over approximately 180 employees.

"Our customers are becoming increasingly global. They are now becoming established in Asia, mainly in China, which is why we are implementing this acquisition. This is an excellent way of entering the rapidly expanding Chinese market," says Maurizio Vischi, Business Area President of Trelleborg Wheel Systems.

Through this establishment, Trelleborg becomes the first manufacturer of agricultural tires from the West to have its own production in China. The establishment provides proximity to Chinese customers, but also support to European and US customers in the local Chinese market.

"This acquisition will give us a lead in this expansive market," continues Maurizio Vischi. "There is enormous potential within agricultural machinery in China. Today, more than half of all agriculture in the country is conducted manually and the shift to using more vehicles and machinery is taking place rapidly."

The plant will strengthen Trelleborg Wheel Systems' competitiveness also on other markets than the Chinese, by broadening the range and through more cost efficient production.

The acquisition and investments total approximately SEK 100 M over a three-year period. Production under the Trelleborg name is expected to commence during the second quarter of 2011.

__________________________________________________________________________________

Trelleborg is a global industrial group whose leading positions are based on advanced polymer technology and in-depth applications know-how. Trelleborg develops high-performance solutions that seal, damp and protect in demanding industrial environments. The Trelleborg Group had annual sales during 2010 of approximately SEK 27 billion, with about 20,000 employees in 40 countries. The Group comprises four business areas: Trelleborg Engineered Systems, Trelleborg Automotive, Trelleborg Sealing Solutions and Trelleborg Wheel Systems. The Trelleborg share has been listed on the Stockholm Stock Exchange since 1964 and is listed on the OMX Nordic List, Large Cap. www.trelleborg.com

__________________________________________________________________________________________

For further information, please contact: Media: Vice President Media Relations Mikael Sjöblom, +46 (0)410 67015, +46 (0)733 74 70 15, mikael.sjoblom@trelleborg.com Investors/analysts: Vice President IR Conny Torstensson, +46 (0)410 67070, +46 (0)734 087070, conny.torstensson@trelleborg.com