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Semperit Group: Large RWE Order for Conveyor Belts

(PresseBox) (Vienna, ) The Sempertrans segment of the Semperit Group has been awarded another major contract and will as a result become the primary conveyor belt supplier of the German utility company RWE. On the basis of a five-year contract, Sempertrans will cover more than half of RWE's entire steel cord conveyor belt requirements in the future. The new agreement, which takes effect as of January 1, 2014, stipulates an order volume of about EUR 100 million over the next five years based on RWE's needs in recent years. This represents the largest single order in the history of the Semperit Group, and will considerably expand the business relationship with RWE Power AG, which was initiated in the year 2001.

"As the world's largest operator of steel cord conveyor belts, RWE has been committed to the highest level of quality and innovative products for decades. We can optimally fulfil these requirements thanks to our product portfolio and the investment programme launched this past summer at our Belchatów site in Poland. The intensified partnership with RWE demonstrates the quality of our products and services", says a pleased Thomas Fahnemann, Chief Executive Officer of the Semperit Group, commenting on the large order.

"Since the beginning of our cooperation, we have known Semperit as a reliable partner. We value the performance and durability of Sempertrans conveyor belts, and the company's extensive innovative strength", explains Hans-Jürgen Dralle, Head of Mechanical Engineering of RWE Power AG. "Semperit has also impressed us with its new energy-saving conveyor belt, given the fact that energy efficiency is an extremely important issue in our industry. That is why we look forward to our enhanced cooperation with optimism", he adds.

The conveyor belts will be manufactured at the Sempertrans plant in Belchatów, Poland, which will significantly expand production capacities starting in the year 2015 after major investments were approved for the facility in the early summer of 2013.

The contract placed by RWE exclusively involves the delivery of steel cord conveyor belts. The long-haul conveyor system primarily utilises highly wear-resistant conveyor belts which are increasingly supplied in an energy-saving version. Conveyor belts with enhanced flame resistance are required for use in large-size machinery in open mining such as bucket wheel excavators and spreaders. On the basis of its quality specifications, RWE Power has been setting the highest global standards in the technology used for steel cord conveyor belts deployed in opencast mining for decades.

In the West of Cologne RWE Power operates three large opencast mines with their own nearby lignite power plants and refinery. RWE mines approximately 100 million tons of lignite annually and transports some 450 million m³ of excavated material. The conveyor systems exclusively rely on steel cord conveyor belts, which cover a distance of more than 500 kilometres. Accordingly, RWE Power AG is the largest single operator of steel cord conveyor belts in the world.

About Sempertrans segment

With production facilities in Poland, France, China, and India, Sempertrans is one of the largest and most technologically advanced conveyor belt manufacturers in the world. The portfolio includes belts with both fabric and steel cords, which perfectly fit the requirements of their respective fields of application. These range from underground and surface mining, to heavy industry and shipping ports. Conveyor belts from Sempertrans are distinguished worldwide for their high reliability and long life. Thanks to customised production, they also impress with versatility. Sempertrans serves customers from design, through manufacturing and installation, to maintenance, and is represented worldwide by a production and distribution network with expert partners for service and systems design.

Through an increased presence in emerging markets in Asia and Latin America, Sempertrans will continue to profit from the strong demand for raw materials and energy. In 2012, Sempertrans generated revenue of EUR 144 million (approx.17% of the group revenue) and an EBITDA of EUR 21 million.

Semperit AG Holding

The publicly listed company Semperit AG Holding is an internationally-oriented Group that develops, produces, and sells highly specialised rubber and plastic products for the medical and industrial sectors: examination and surgical gloves, hydraulic and industrial hoses, conveyor belts, escalator handrails, construction profiles, cable car rings, and products for railway superstructures. The headquarters of this long-established Austrian company founded in 1824 are based in Vienna, and the global R & D centre is located in Wimpassing, Lower Austria. The Semperit Group employs about 10,000 people worldwide, including more than 7,000 in Asia and about 750 in Austria. The Group has 22 manufacturing facilities worldwide and numerous sales offices in Europe, Asia, and America. In fiscal 2012, the Group generated revenue of EUR 829 million and an EBITDA of EUR 109 million.