Annual Press Conference 2010

• Two-digit growth in the 1st quarter of 2010
• Increased growth forecast for 2010
• High R&D investment level of 27 million euros

Detmold, 14 April 2010 | In the year 2010 the Weidmüller Group aims for an ambitious sales growth, considering its previous sales forecast of plus five percent, dated from December 2009, as a minimum. “Against the background of our successful internal “efficiency and stability package 2009” and considering the moderate revival of important industrial sectors and the sound growth in Asia, an increase of more than five percent can be accomplished”, said Dr. Joachim Belz, spokesman of the Executive Board during the annual press conference.

In the business year 2009 Weidmüller achieved sales of 401 million euros, (- 25 percent). “The positive aspect is that, despite the considerable decrease, we didn’t loose market share during this difficult phase”, Dr. Belz explains. “In fact, Weidmüller was able to win new customers, particularly in the fields of Generation of Renewable Energy and Process Technology.” 21 percent of the 2009 sales were achieved on the strongly growing Asian market, about 28 percent on the German and 45 percent on the rest of the European market. The sales share achieved on the American market was about six percent.

At the end of the year 2009, about 1,860 of the 3,400 staff members worldwide were employed in Germany. Reducing the number of temporary workers, introducing short-time work and a supportive contribution as well as terminating fixed-term contracts were measures to counteract the decrease in sales and the cost explosion. “During this difficult phase our staff showed its commitment to the company and contributed their mite”, Dr. Belz expresses the company management‘s gratitude, adding an optimistic outlook on the future: “We have reached the bottom, now we are seeing the upturn. The first quarter’s sales figures are definitely two-digit and for some product areas we have an order level comparable to that of 2008. However, a sound degree of caution is advised because there is no secure information about the duration and, above all, the stability of the present growth.”

This year’s growth will substantially be influenced by the development abroad because a significant reflation in Germany and South Europe cannot be expected before the end of the year. Additionally, Germany’s exports are stimulated by the current development of the euro exchange rate. Due to the movements on the global sales markets and their significance, the sales activities in the BRIC countries are to be developed in parallel.

The efficiency and stability package that had been established in May 2009 will be continued this year. It includes high expenditures for new products and processes (27 million euros) as well as the expansion into new markets and future-oriented branches of the industry. Looking at different regions, the Chinese market continually gains in importance. Therefore the regional development centre in China is subject to further development. In addition to the refinement of products of the business area Electrical Connectivity, Weidmüller will make considerable investments in the field of Electronics and further the development of the business area Application Specific Solutions.

“In the long run, this will help to align the company for its leadership role in the field of connectivity inside and outside the control cabinet. This core business will more and more be complemented by electronics products including voltage supply for the connected devices, surge protection, the conversion of analogue and digital signals as well as the support of communication between the devices via our connection technology”, Dr. Belz summarises. During the Hannover Fair (19 to 23 April 2010) Weidmüller will exhibit its latest results of development and a spectrum of innovative products.