Scanfil - Company Announcement

SCANFIL PLC'S SUBSIDIARY SCANFIL EMS OY AND OJALA-YHTYMÄ OY TO MERGE

SCANFIL PLC      STOCK EXCHANGE RELEASE         1 NOVEMBER 2010  9.00 A.M.      

SCANFIL PLC'S SUBSIDIARY SCANFIL EMS OY AND OJALA-YHTYMÄ OY TO MERGE            

Scanfil plc's subsidiary Scanfil EMS Oy and Ojala-Yhtymä Oy have a signed a     
merger agreement whereby Ojala-Yhtymä Oy will merge into Scanfil EMS Oy. The    
general meetings of shareholders of both companies have approved the merger plan
on 1  November 2010. The purpose is to execute the merger during the first half 
of 2011. Following the merger, Scanfil plc will have a 79% holding in Scanfil   
EMS Oy and former owners of Ojala-Yhtymä Oy a 21% holding.                      

Harri Takanen, President of Scanfil plc:                                        "The arrangement results in an even more competitive company that is more       
capable of meeting the requirements set by markets and customers. Scanfil EMS Oy
and Ojala-Yhtymä Oy complement each other well, and we believe that there will  
be significant synergy benefits. When two industry-leading companies in Finland 
merge, this results in a sufficiently large company to meet the challenges      
caused by structural change in the contract manufacturing industry.”            

As a result of the merger, the largest professional electronics and             
telecommunications technology contract manufacturing centre in Finland will be  
formed in Sievi. Ojala-Yhtymä's foreign units complement Scanfil EMS Oy's       
international functions and the new company will have good global coverage. The 
merger will result in synergy benefits in manufacturing, material procurement   
and logistics. The benefit of the merger has been estimated to be so significant
that the merger is an excellent solution from the point of view of both         
companies and their customers.                                                  

Ojala-Yhtymä Oy has manufacturing operations in Sievi (Finland), Slovak and     
India. Ojala-Yhtymä Oy's main customers are international players in the        
electricity, telecommunications and automation industries. The company also has 
potential customers in the rapidly growing environmental and recycling          
technologies.                                                                   

Scanfil EMS Oy is a systems supplier that offers its products and services to   
international telecommunications systems manufacturers and professional         
electronics customers. Typical products are equipment systems for mobile and    
public switched telephone networks, automation systems, frequency converters,   
lift control systems, equipment and systems for electricity production and      
transmission, analysers, slot machines and different meteorological instruments.
The company has production facilities in China, Estonia, Hungary and Finland.   

KEY FIGURES                                                                     
EUR million                                                                     

                          2008     %       2009     %      1-9 2010     %       
Scanfil Group /                                                                 
Scanfi EMS Group                                                                
Turnover                 218,9            197,3               157,2             
Operating profit          21,1    9,7      15,6    7,9          8,1    5,1      
Net profit                15,6    7,1       9,9    5,0          5,0    3,2      

Ojala-Yhtymä Group      
Turnover                  48,5             32,1                34,1             
Operating profit           8,2   16,9       1,1    3,4          3,0    8,8      
Net profit                 5,9   12,2       0,3    1,0          2,0    5,8      

Proforma                                                                        
Turnover                 226,6            228,9               191,0             
Operating profit          29,3   11,0      16,7    7,3         11,1    5,8      
Net profit                21,5    8,1      10,3    4,5          6,9    3,6      



Due to the business transfer carried out in 2008, the figures for 2008 are      
Scanfil Group's figures. Scanfil EMS Group's, Pro forma and 1-9/2010 figures    
have not been audited.                                                          


SCANFIL PLC                                                                     


Harri Takanen                                                                   
President                                                                       


Additional information:                                                         
President Harri Takanen                                                         
Tel +358 8 4882 111                                                             


Distribution         NASDAQ OMX, Helsinki                                       
                     Major Media                                                
                     www.scanfil.com                                            


Scanfil Group comprises the investment and parent company Scanfil plc, and a    
subgroup called Scanfil EMS Oy, which is engaged in contract manufacturing for  
international telecommunications technology and professional electronics        
manufacturers. The objective of the investment activities is to make the        
management of the company's funds more effective and productive by diversifying 
the risks and finding new growth potential.                                     

Scanfil has over 30 years of experience in demanding contract manufacturing.    
Scanfil is a systems supplier that offers its products and services to          
international telecommunications systems manufacturers and professional         
electronics customers. Typical products are equipment systems for mobile and    
public switched telephone networks, automation systems, frequency converters,   
lift control systems, equipment and systems for electricity production and      
transmission, analysers, slot machines and different meteorological instruments.
The company has production facilities in China, Estonia, Hungary and Finland.   

The associated companies of Scanfil Group:                                      
Kitron ASA (KIT) (Scanfil plc's share of ownership 32,96%) is a listed Norwegian
subcontractor, which operates in five different customer segments: the marine   
and oil industry, basic industry, defence equipment industry, hospital and      
healthcare equipment industry and data and telecommunications industry. In      
addition to Norway, Kitron ASA has plants and production in Sweden, Lithuania,  
Germany, China and, as of the beginning of 2011, also in the United States.     
Kitron ASA's turnover in 2009 was NOK 1,730.7 million (about EUR 218.5 million).
www.kitron.com                                                                  

Greenpoint Oy (Scanfil EMS Oy's share of ownership 40%) focuses on development  
and supply of solutions and equipment, which improve placements, visibility and 
sales of customer products in the Point-Of-Sale. The Greenpoint product         
portfolio includes a large variety of refrigerated merchandisers, displays and  
integrated check-out zone concepts. The company serves both brand owners and    
retail chains internationally.  Along with the European markets Greenpoint Oy   
has entered North and Latin American markets through partnerships.              
www.greenpoint.fi                                    

IonPhasE Oy (Scanfil plc's share of ownership 40%) develops and manufactures    
high performance dissipative polymers that help to control static electricity.  
IonPhasE products are utilized in wide range of industries like chemical,       
automotive, telecommunication and consumer electronics. Based on own patented   
technology, IonPhasE manufactures polymers called IonPhasE IPE. www.ionphase.fi 

Panphonics (Scanfil plc's share of ownership 40%) is the world's leading        
provider of directional audio solutions. Panphonics manufactures directional    
audio solutions for acoustically demanding applications based on it's own       
patented technology. Panphonics Sound Shower® directional audio speakers can be 
found in banks, retail stores, digital signage projects, information kiosks,    
theatres, and offices throughout the world. Panphonics is also component        
manufacturer and licensor of plane wave technology for industrial audio         
manufacturers and audio solution providers. www.panphonics.com