Ixonos - Company Announcement

Ixonos rationalises its international activities and adjusts its first-quarter operating profit forecast

Helsinki, Finland, 2011-06-29 08:30 CEST (GLOBE NEWSWIRE) -- Ixonos Plc        
 Stock Exchange Release          29 June 2011 at 09:30 


IXONOS RATIONALISES ITS INTERNATIONAL ACTIVITIES AND ADJUSTS ITS FIRST-QUARTER
OPERATING PROFIT FORECAST 

Due to changes in the company's operating environment, Ixonos Plc closes its
office in Boston and focuses its U.S. sales activities on the West Coast,
closer to its corporate customers developing mobile technology as well as to
media and other companies providing mobile content and services. In Europe, the
company closes its office in Copenhagen, concentrating its Danish operations in
Aalborg, where development work based on the Android operating system is being
carried out. 

In connection with the rationalisation of international operations and with the
previously announced co-operation negotiations in Finland, the company will
recognise non-recurring costs of EUR 0.4 million in the second quarter of this
year. 

The rationalisation is expected to create yearly savings of approximately EUR
2.5 million from the third quarter of this year. 

In its first interim report for the financial period, the company announced
that the group's turnover and operating profit for the first half-year were
expected to be at the same level as in the previous year. Because of the
above-mentioned non-recurring costs and the additional investments that were
made in international sales during the spring, Ixonos now estimates that its
operating profit for the first half-year will fall short of the operating
profit for the first half of the previous year but clearly exceed EUR 1 million
(2010: EUR 1.8 million). 

The company's forecast for the entire financial period remains unchanged: the
company's turnover and operating profit for the entire year 2011 are predicted
to be lower than in the previous year, but operating profit is forecast to be
positive. 



IXONOS PLC
Kari Happonen
President and CEO

For more information, please contact:
Ixonos Plc, Kari Happonen, CEO, tel. +358 400 700 761, kari.happonen@ixonos.com

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