PKC Group Oyj - Company Announcement

PKC Group adjusts production capacity in South America

PKC Group Plc         Company Announcement 24 June 2015      09.30 am



PKC Group adjusts production capacity in South America



The Brazilian truck production volumes have continued to decrease further and
the full year 2015 heavy duty truck production is estimated to be down by 50%
from 2014. In addition, the medium term annual growth outlook for truck
production in Brazil is estimated to be below 4% and production volumes are
estimated to normalise by year 2022. In a view of this recent development and
medium term outlook PKC Group has decided to consolidate all its production
capacity in Brazil to Campo Alegre factory. 



The adjustment measure will affect 550 jobs in Curitiba and is estimated to be
completed by end of second quarter of 2016. The related non-recurring expenses
are estimated to amount to approximately EUR 5 million of which about EUR 1
million is non-cash. The non-recurring expenses will be recorded into second
quarter 2015 interim report. 



The production capacity adjustment will improve PKC Group's profitability in
Brazil and has no impact on PKC Group's outlook for 2015. 



PKC Group Plc



Board of Directors



Matti Hyytiäinen

President & CEO



For more information, please contact:

Matti Hyytiäinen, President & CEO, PKC Group Plc, tel. +358 (0)400 710 968





Distribution

Nasdaq Helsinki

Main media

www.pkcgroup.com





PKC Group is a global partner, designing, manufacturing and integrating
electrical distribution systems, electronics and related architecture
components for the commercial vehicle industry, rolling stock manufacturers and
other selected segments. The Group has production facilities in Brazil, China,
Estonia, Finland, Germany, Lithuania, Mexico, Poland, Russia, Serbia and the
USA. The Group's revenue in 2014 totalled EUR 829.5 million. PKC Group Plc is
listed on Nasdaq Helsinki.