Ixonos - Company Announcement

Ixonos continues to rationalize its operations in Finland

Ixonos Plc          Stock Exchange Release          24 May 2010 at 15:00


IXONOS CONTINUES TO RATIONALIZE ITS OPERATIONS IN FINLAND

Despite moderate growth in the general demand for Ixonos Group's services, the
domestic market situation remains tightly contested. The demand for customer
project expertise in certain business areas has at least temporarily decreased.
To remain competitive we have to adapt the company's capacity and cost level to
match the anticipated turnover. 

We have experienced a declining demand for project management services over an
extended period of time. Our role as a solution supplier among our customer
base has transformed due to tightening competition in the market. In the
meantime the domestic demand for testing and variant work has also decreased as
our customers have shifted their project orders for example to the Asia region. 

Ixonos Plc commences co-operation negotiations applying to certain personnel
groups. The objective of the negotiations is to find solutions to handle the
decreasing demand for customer project work in some business areas. These
negotiations will not result in any terminations of employment. However, the
negotiations can lead to temporary lay-offs lasting no longer than 90 days and
reductions of working hours. On the basis of current demand, the effects are
estimated to apply to 30-40 persons. 

The rationalization of the operations seeks to achieve this year approximately
EUR 0.5 million savings as from the third quarter of the current financial
year. 

Any action regarding personnel will not affect the production of services for
Ixonos' customers. 

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


Distribution:
NASDAQ OMX Helsinki
Main media

Attachments:

ixonos_coop_negotiations_release_20100524.pdf