Innofactor Oyj - Company Announcement

Innofactor’s personnel negotiations concluded

Innofactor Plc Stock Exchange Release September 17, 2014, at 08:30 am Finnish
time 

Innofactor announced on September 2, 2014, that it will start personnel
negotiations in Finland regarding the reduction of less than ten positions and
temporary layoffs based on financial and productional grounds. The negotiations
affected the administrative functions and those business areas where customer
purchasing behavior has changed. The number of employees to be temporarily laid
off was estimated at the most approximately thirty. 

The negotiations have been concluded. Innofactor's order book developed
favorably during the negotiations and, thus, the cost saving actions could be
limited to a smaller number of positions than earlier announced. Innofactor
will cut three positions and temporarily lay off eleven persons full-time and
five persons part-time, both for ninety days. These actions will bring cost
savings of approximately EUR 0.3 million in 2014. 

In addition, other personnel arrangements that have been agreed on in
Innofactor will generate cost savings of approximately EUR 0.1 million. 

The above mentioned arrangements are not estimated to have a negative impact on
net sales. 

The Finland-based Group Executive Board members have each agreed on voluntarily
relinquishing the worth of one month's salary. This action will generate cost
savings of approximately EUR 0.1 million in 2014. 

The above mentioned actions - together with the other improvement measures
announced in conjunction with the Interim Report in July - aim at securing the
company's 2014 financial targets. 

”With the implemented actions we have adjusted our cost level with the current
business situation and improved our operations”, states Innofactor's CEO Sami
Ensio. “Our target, in line with our strategy, is still to expand our
operations in the Nordic countries. This can happen both through organic growth
and via mergers or acquisitions.” 



Espoo, September 17, 2014

INNOFACTOR PLC

Sami Ensio, CEO



Additional information:

CEO Sami Ensio, Innofactor Plc

Tel. +358 50 584 2029

sami.ensio@innofactor.com



Distribution:

NASDAQ OMX Helsinki

Principal media

www.innofactor.com



Innofactor is one of the leading Nordic IT solution providers focused on
Microsoft platforms. Innofactor delivers business critical solutions and
maintenance services as a system integrator and develops its own software
products and services. Innofactor's own product development is focused on
Microsoft's Windows Azure based cloud solutions. Innofactor's customers include
over 1,000 private and public sector organizations in Finland, Denmark, Sweden
and elsewhere in Europe. The company has over 400 motivated and skilled
employees in a number of locations in Finland, Denmark, and Sweden. From 2009
to 2013, Innofactor's annual net sales growth has been 43 percent on average.
Leading Finnish business publication Kauppalehti selected Innofactor as the
most successful company on the Finnish stock exchange in 2013. The Innofactor
Plc share is listempoted in the technology section of the main list of NASDAQ
OMX Helsinki Oy.