Wärtsilä - Company Announcement

Wärtsilä to centralise warehousing and logistics of spare parts - Eur 70 million investment in a new distribution centre in the Netherlands

Wärtsilä Corporation, Company Announcement 29 May 2008 at 9.55 am EET

Wärtsilä will strengthen its international customer service by
centralizing the spare parts logistics and by building a new spare
parts distribution centre in the Netherlands. A large and modern
central warehouse is planned near the company's current service unit
in the Netherlands. Wärtsilä will invest approximately EUR 70 million
in the new distribution centre. The investments will be spread over
three years from 2008 to 2010. The intention is to outsource
logistics and warehousing operations."Consolidating logistics and warehousing within a specialised partner
will improve customer service by allowing parts deliveries 24 hours a
day 7 days a week," comments Tage Blomberg, Group Vice President,
Services. "The new central warehouse will shorten transportation
distances, reduce the traffic of spare parts between warehouses, and
improve management of the entire supply chain," adds Blomberg.

Wärtsilä has seven product companies: in Finland, Italy, the
Netherlands, France, Sweden, Norway and Switzerland. Today the
product companies are responsible for the global logistics of their
own product groups. By centralising these activities, customers will
receive faster and more efficient service.

The new arrangements in different countries will affect approximately
550 employees and job assignments of many employees will change.
There will be no lay-offs due to this rearrangement. The new
operating model is planned to be fully implemented by 2011.

For further information please contact Mr Tage Blomberg, Group Vice
President, Wärtsilä Services, phone +358 10 709 2425.


Wärtsilä in brief
Wärtsilä enhances the business of its customers by providing them
with complete lifecycle power solutions. When creating better and
environmentally compatible technologies, Wärtsilä focuses on the
marine and energy markets with products and solutions as well as
services. Through innovative products and services, Wärtsilä sets out
to be the most valued business partner of all its customers. This is
achieved by the dedication of more than 17,000 professionals manning
160 Wärtsilä locations in 70 countries around the world. Wärtsilä is
listed on The Nordic Exchange in Helsinki, Finland.


www.wartsila.com