Elektrobit Oyj - Company Announcement

EB, ELEKTROBIT CORPORATION, ANNOUNCES ACTIONS TO IMPROVE PROFITABILITY

STOCK EXCHANGE RELEASE
Free for publication on, August 8, 2008 at 8.00 pm. (CEST+1)
EB,   ELEKTROBIT   CORPORATION,   ANNOUNCES   ACTIONS   TO    IMPROVE
PROFITABILITY

Improvement of  profitability is  the  main focus  of EB  during  the
second half of 2008.

The own  R&D investments  of EB  will be  adjusted to  a  sustainable
level. Thus, they will in second half of 2008 reduce compared to  the
first half of 2008.

The corporate research organization of EB will be dismantled and  the
R&D teams thus released will be moved to chargeable customer solution
work.

Within the Wireless Business Segment, as a part of the structural and
profitability improvement actions, EB has decided to merge the mobile
terminal solutions  and radio  network  solutions businesses  into  a
wireless solutions business.  With this change,  EB will improve  the
cost structure, flexibility and resource utilization, and  strengthen
the capability to penetrate new market domains and customers.

In addition, in order  to personally contribute  to the cost  savings
targets of  the company,  Chairman of  the Board  J.T. Bergqvist  has
decided to abandon  his right  to remuneration  for the  rest of  the
current board period.

August 8, 2008
Elektrobit Corporation
Board of Directors


Further information:
Pertti Korhonen
CEO
Tel. +358 40 344 5148

Outi Torniainen
Director, Communications and Marketing
Tel. +358 40 512 1375


DISTRIBUTION:
OMX Nordic Exchange Helsinki
Principal media


EB, Elektrobit Corporation
EB creates advanced technology and  turns it into enriching  end-user
experiences. EB  is specialized  in demanding  embedded software  and
hardware solutions for  automotive and wireless  industries. The  net
sales for the year 2007 totaled MEUR 144.3. Elektrobit Corporation is
listed on OMX Nordic Exchange Helsinki. www.elektrobit.com