15th March 2010 - Brembo Brakes Invests € 82 million in Poland

Brembo will be investing € 82 million over the next 5 years to expand its manufacturing facility at Dabrowa in Poland.

• The goal is to double brake disc production by the end of 2014.

• The acquired order portfolio is already certain to ensure optimum utilization of the new capacity.

Over the next five years, from 2010 to 2014, Brembo will spend € 82 million in Poland on increasing the production capacity of its plant at Dabrowa Gornicza (Brembo Poland Spolka Zo.o.), which makes brake discs for the cars and commercial vehicles market.

With € 62 million earmarked for new foundry resources (doubling the existing capability), and € 20 million for a gradual expansion of the disc machining shops, the investment has been prompted by the capture of a growing share in the European brake disc market, which even now is guaranteed to exploit the capacity of the new foundry to the full.

sales turnover of around € 109 million in 2008 will increase to around € 150 million in 2012. The investments will be financed with cash generated by the Group, and in part by a grant from the European Union (€ 13.5 million); the new development also benefits from tax breaks, as part of the Katowice Economic Special Zone.

Brembo in Poland

Brembo has had a presence in Poland since 1995 when the group opened its Czestochowa plant (Brembo Spolka Zo.o.), which produces OE brake systems for commercial vehicles. In 2008, Brembo Spolka reported net sales of around 103 million euros. Since 2003, Brembo has also been operating from a second Polish site at Dabrowa Gornicza (Brembo Poland Spolka Zo.o.), initially a disc machining facility, to which a cast iron foundry was added in 2006. In 2008, Brembo Poland Spolka reported net sales of around 109 million euros. The client portfolio of Bembo’s Polish business arm includes: Audi, BMW, Daimler, Fiat, Ford, Land Rover, PSA, Volvo, Iveco and Schmitz Cargo Bull.

Brembo SpA

Brembo SpA is an acknowledged world leader and innovator in the field of automotive disc brake technology. The company supplies high performance braking systems to the premier makers of automobiles, motorbikes and commercial vehicles worldwide, as well as clutches, seats, seat belts and other components (racing sector only). The name of Brembo also has unrivalled prestige in motorsport, with 200 world championship titles won to date in the role of OE supplier. The group operates currently in 14 countries on 3 continents, with 35 production and business sites and a pool of human resources over 5400-strong (30/09/09). 10% of the workforce is made up of engineering staff and product specialists working in R&D. Sales turnover in 2008 amounted to 1,060 billion euros. Brembo is owner of the Brembo, Breco, Bybre, Marchesini and Sabelt brands, and operates also through the AP Racing brand.

Source: ??? Press Release