Negotiation result has been reached in the statutory negotiations started on February 17, 2006 in Cencorp Corporation. Amount of employees in Virkkala, Salo and Espoo sites decreases in all by 23 persons. Reductions will not apply
to production employees. Reductions will be realized by dismissals and layoffs for an unspecified term.

As part of the negotiation result Cencorp Corporation today issued a notification concerning layoffs. Layoffs will apply maximum of 90 days and they will be realized in sequences so that capacity of the company will not be endangered. Layoffs concern all employee groups working in Finland.

Company continues negotiations concerning outsourcing of its IT department. In case outsourcing realizes, 3 employees working in the department will be transferred to as employees of the service provider.

In addition Cencorp Corporation has started actions concerning reducing of fixed expenses in its international subsidiaries.

Issues agreed in the statutory negotiations and other decided actions will fulfil fixed cost saving targets of EUR 2 million set up by the Board on February 9, 2006. Furthermore Cencorp Corporation has started actions which will result to savings in excess of EUR 1 million in production costs.

 

Virkkala, March 21, 2006

Cencorp Oyj

Petri Väinölä
President and CEO

Further information:
Cencorp Corporation
Petri Väinölä
President and CEO
Tel. +358 19 6610 215

Cencorp develops and supplies automation solutions to the
electronics and semiconductor industry that enhance productivity.

Distribution:
Helsinki Stock Exchanges
Main media
www.cencorp.com