Outotec Oyj - Inside information

Outotec simplifies its organization and processes to accelerate business growth

OUTOTEC OYJ  STOCK EXCHANGE RELEASE  APRIL 25, 2018  at 9:10 AM

Outotec simplifies its organization and processes to accelerate business growth
Outotec takes the next steps in implementing its strategy to achieve 2020
targets. Simplifying and streamlining the organization will lead to a more
efficient and agile way of working with a clear focus on customers.

The planned changes clarify the roles and responsibilities and include:

  * Simplifying the structure of the segments with global end-to-end business
    responsibility
  * Reducing management layers and streamlining global functions
  * Simplifying business processes
"These changes are intended to accelerate growth as we further simplify and
flatten our organization and give more decision-making power and accountability
to business units. We also expect to get additional profit improvement from
faster decision-making, more efficient deliveries and increased customer
engagement," says Outotec's CEO Markku Teräsvasara.

The planned structural changes may lead to the reduction of approximately 200
positions globally. Employee cooperation negotiations will start immediately.

The impact of the simplification on Outotec's cost structure is estimated to be
approximately EUR 25 million. The related restructuring costs are estimated to
be EUR 12 million.

The current structure with two reporting segments, Minerals Processing and
Metals, Energy & Water, remains unchanged, and the service business continues to
be reported as part of these two segments.

The new organization is expected to become operational as of July 1, 2018. The
changes will not impact Outotec's financial guidance for 2018.


For further information please contact:

OUTOTEC

Markku Teräsvasara, President & CEO
Tel. +358 20 529 211

Eila Paatela, head of Corporate Communications
Tel. +358 20 529 2004, mobile +358 400 817198

E-mails: firstname.lastname@outotec.com

DISTRIBUTION:
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www.outotec.com

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