Sinterstahl Increases its Market Presence in North America

Reutte/Dayton (November 11, 2004) - The Sinterstahl group announced that it intends to acquire the Dayton, Ohio powdered metal operation of Federal Mogul, a global supplier of the automotive industry.

An asset purchase agreement was signed on November 8, 2004. This agreement is subject to approval by the U.S. Bankruptcy Court, as Federal Mogul previously voluntarily filed for financial restructuring under Chapter 11 of the Bankruptcy Code in the United States. The takeover is expected to be completed before year-end.

The acquired company, which will operate as Sinterstahl Corporation-Powertrain, develops, manufactures and supplies powdered metal automatic transmissions and pump components for the automotive industry. The company forecasts turnover of approximately $10 million in 2004 with a current workforce of 110 employees.

"This business acquisition provides entry into the North American powdered metal transmission component market", stated Dr. Michael Schwarzkopf, Chairman of the Executive Board of the Plansee group. "Additionally, we expect technological input for the entire Sinterstahl group."

This location will be the second North American production facility for the Sinterstahl group which is one of three divisions of Plansee. Sinterstahl inaugurated a green field manufacturing facility for shock absorber components in Philipsburg, Pennsylvania just one year ago in October 2003.

Plansee, with its global manufacturing and sales network of 52 companies, has significantly expanded its North American market presence over the past three years. More than 10 percent of its current workforce of 6.500 is employed by United States based companies.