euro adhoc: RHI AG / Mergers - Acquisitions - Takeovers / RHI acquires the business of Monofrax Inc., USA (E)

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Disclosure announcement transmitted by euro adhoc. The issuer is responsible
for the content of this announcement.
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19.12.2006

Monofrax Inc. is a subsidiary of Vesuvius Crucible Company and the only producer
of fused cast products in the USA, which are used primarily in the glass
industry. In 2005, Monofrax reported an annual revenue of USD 45 million in the
USA, Asia/Pacific and Europe.
Monofrax has innovative products, important patents and excellent business
relations with the most important glass producers worldwide.
In the growing glass market, RHI Refractories is the world’s largest
refractories supplier independent of the glass industry and already operates
modern production facilities for fused cast products in Italy and China, as well
as further production sites for refractories for the glass industry in Europe
and China.

RHI has signed a contract with Vesuvius regarding the acquisition of all
relevant Monofrax assets ("asset deal"), which, in addition to fixed assets,
also comprises all intangible assets and the entire operating business. The
purchase price amounts to about USD 35 million (EUR 26,7 million). For the year
ended 31 December 2005, Monofrax had an operating profit (EBIT) of USD 6 million
(EUR 4,6 million).
The enforcement of the contracts is subject to different conditions precedent
and the approval of the antitrust authorities. The closing of the transaction is
expected for the first quarter of 2007.

With the integration of the Monofrax business into its worldwide sales network,
RHI Refractories is again significantly strengthening its position as a
full-line supplier and now most important independent producer of fused cast
refractories specialties.
RHI Refractories thus has another technologically, logistically and economically
optimal production site for high-grade refractory products especially for the
highly important special glass market in North America. The new production
network enables the sales force of
RHI and Monofrax to apply their refractories know-how, which will be pooled in
the future, to ensure an even more intensive joint market penetration and
optimal customer solutions worldwide.

Further inquiry note:
RHI AG
Investor Relations
Dkfm. Markus Richter
Tel: +43-1-50213-6123
Email: [email protected]

end of announcement euro adhoc 19.12.2006 08:00:00
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emitter: RHI AG
Wienerbergstrasse 11
A-1100 Wien
phone: +43 1 50213-6123
FAX: +43 1 50213-6130
mail: [email protected]
WWW: http://www.rhi-ag.com
ISIN: AT0000676903
indexes: ATX Prime
stockmarkets: official dealing: Wiener Börse AG
sector: Refractories
language: English

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