Elektrobit Oyj - Company Announcement

Elektrobit (EB) starts personnel negotiations to temporarily lay 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 April 30, 2014 at 8.00 a.m. (CEST+1)

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

Elektrobit  (EB) has today started personnel negotiations to temporarily lay off
90 persons  at the maximum in Wireless Business Segment to adjust its cost level
due  to the weakened  order book for  R&D services in  the next few months. 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.

In  order to achieve the targeted cost  savings, EB plans to temporarily lay off
90 employees at the maximum, for 90 days at the maximum, part-time or full-time.
The  temporary layoffs are planned  to occur mainly during  the third quarter of
2014. The negotiations concern employees working in Wireless Business Segment in
Finland. Currently, Wireless Business Segment has 496 employees.

The  underlying  reasons  for  the  planned  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 planned temporary layoffs are taken into account in
the  company's outlook for  2014, presented in the  interim report January-March
2014, published today. The interim report January-March 2014 is available at the
company's internet pages at www.elektrobit.com.


Oulu, April 30, 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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