Elektrobit Oyj - Company Announcement

Elektrobit (EB) temporarily lays off 90 employees at the maximum, targeting cost savings of about EUR 0.8 million in its Wireless Business Segment

Stock exchange release

Free for publication on May 15, 2014 at 8.15 a.m. (CEST+1)

Elektrobit (EB) temporarily lays off 90 employees at the maximum, targeting cost
savings of about EUR 0.8 million in its Wireless Business Segment

Elektrobit  (EB) has yesterday concluded  personnel negotiations in its Wireless
Business  Segment in Finland, started on April 30, 2014 to adjust its cost level
due  to the  weakened order  book for  R&D services  in the next few months. The
company  has decided to temporarily  lay off 90 persons at  the maximum, for 90
days  at the maximum, part-time or  full-time. With temporary layoffs EB targets
to  achieve  EUR  0.8 million  cost  savings,  which are expected to materialize
mainly  during  the  third  quarter  of  the  year. Currently, Wireless Business
Segment has 486 employees.

The  underlying reasons for the layoffs are decreased demand of R&D services for
mobile telecommunications network equipment and delays in starting new projects,
which  have resulted in a decreased order book for R&D services for the next few
months.  The decreased order book  for R&D services for  the next few months and
the targeted cost savings by the temporary layoffs are taken into account in the
company's outlook for 2014, presented in the interim report January-March 2014,
published  on April 30, 2014. The interim report January-March 2014 is available
at the company's internet pages at www.elektrobit.com.

Oulu, May 15, 2014

Elektrobit Corporation
CEO
Jukka Harju

Further information:
Hannu Huttunen
President, Wireless Business Segment
Tel. + 358 40 344 5307

Distribution:
NASDAQ OMX Helsinki
Principal media

Elektrobit Corporation (EB)
EB creates advanced technology and turns it into enriching end-user experiences.
EB  is specialized  in demanding  embedded software  and hardware  solutions for
wireless  and automotive  industries. The  net sales  in 2013 totaled EUR 199.3
million  and  operating  profit  was  EUR 8.1 million. Elektrobit Corporation is
listed on NASDAQ OMX Helsinki. www.elektrobit.com

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