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Czech Republic - Brembo Invests EUR 35 Million in New Plant Manufacturing Auto Brake Systems

- The three year investment plan (2010-2013) reflects the decision of some clients to apply light and high performance brake systems to their cars, like the ones Brembo produces with its technology. - Brembo enter for the first time in the mid-premium segment (medium and high-end sedan), which is ten times bigger than the one typically served by the company. - Projects have already been received from four clients: Land Rover, BMW, GM and Audi. - 2014 will see the production of more than 1.5 million brake calipers and knuckles, generating new business worth around 128; 55 million.

Pursuing a strategy of international expansion and solid growth in new market segments, Brembo has decided to invest approximately 128;35 million over the next three years in a new manufacturing facility that will be located at Ostrava, in the Czech Republic. The new factory 151; to be set up in an existing industrial building 151; will be operating with effect from 2011.

Brake calipers and other aluminium components will be cast, machined and assembled there, whilst the aim ultimately is to develop an integrated industrial centre supplying quality brake systems with a high technological content to the European market. With this end in view, Brembo S.p.A. has set up a wholly owned subsidiary trading under the name of Brembo Czech s.r.o.

With efforts being made constantly to reduce the environmental impact of vehicles, and a resulting interest in more lightweight components offering higher performance, certain auto makers operating in the mid-premium segment 151; which is ten times bigger than the one typically served by Brembo 151; have opted to upgrade their vehicles by applying technologies associated with the luxury and high premium segment, where Brembo is a world leader.

The new components will incorporate know-how and technologies pioneered and perfected by Brembo, in particular featuring lightweight construction, performance and design 151; the key advantages of aluminium over cast iron. Among the indirect advantages gained as a result of reducing weight and residual torque are lower pollutant emission levels and better fuel economy. Brembo Czech s.r.o. is expected to achieve sales turnover of around 128;55 million in 2014, generated through new business.

To date, projects have been secured from Land Rover, BMW, GM and Audi. Brembo production facilities in Italy will continue to manufacture the current range of products targeted at the high-end and luxury market segments.

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