EANS-News: SMT Scharf AG acquires first order for rack-and-pinion drive developed in 2009

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Hamm (euro adhoc) - Hamm, May 27, 2010 - SMT Scharf AG (German Securities Code
575198, ISIN DE0005751986), technology and global market leader for rail-bound
railway systems for the mining sector, has received its first order for the
switch-in rack-and-pinion drive system it developed last year. The order has a
total value of around EUR 2 million and is to be shipped to Russia in 2010.

A Russian coal mine in the Kuzbass region ordered three trains that are equipped
with the switch-in rack-and-pinion drive. It also ordered track equipment and
accessories. Other companies in the group to which the mine belongs have already
been using SMT Scharf´s trains with conventional friction wheel drives since
2005. The trains that have now been ordered will allow weights of up to 45 tons
to be transported. The inclines are up to 25° on sections of the underground
roadways on which the trains will be used, making the switch-in rack-and-pinion
drive the most economic solution for this customer. This system is designed so
that the driver can switch between the friction and rack-and-pinion drive en
route without having to stop the train. The toothed racks that fit the pinion
thus only have to be laid on sections with particularly steep inclines or in
particularly damp environments. Both the rack-and-pinion drive and the toothed
racks can also be retrofitted to existing systems.

"We are very pleased to have received an order for this technology from Russia
in particular. That is where we presented the system for the first time at a
trade fair in 2009. We believe that this order and a number of current enquiries
are early indicators that the Russian mining sector is expanding again, as was
the case up to 2008," commented Dr. Friedrich Trautwein, SMT Scharf AG´s CEO.
"We believe that there is major potential for our business in the coming years
from Russia, and also from China and South Africa."

Company profile

The SMT Scharf group develops, builds and maintains transportation equipment for
mining and tunneling. The main product are rail-bound railways which are used
all over the world, primarily in hard coal mines and underground mining for
gold, platinum and other metals. They are used to transport material and
personnel with working loads of up to 45 tons. Rail-bound railways are the only
means of underground transport that can be used on branching lines to cope with
inclines of more than 13 degrees. The SMT Scharf Group has its own companies in
Germany, Poland, Great Britain, South Africa, China and Russia and additional
dealerships. The railways that SMT Scharf develops are characterized in
particular by their high-performance engines, great transport performance and
low operating and maintenance costs. SMT Scharf records more than 80% of its
revenue in high-growth foreign markets, such as Russia, China and South Africa.
Business with replacement parts and repairs accounts for around 40% of revenue.
The entire market for underground transport technology comprises EUR 5 billion
to EUR 7 billion per year according to the company´s estimates. SMT Scharf AG
has been listed in the Prime Standard (Regulated Market) of the Frankfurt Stock
Exchange since April 11, 2007.

Further inquiry note:
Contact

Investor Relations
cometis AG
Susanne Gremmler
Tel: +49(0)611 - 205855-23
Fax: +49(0)611 - 205855-66
e-mail: gremmler@cometis.de
end of announcement euro adhoc
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issuer: SMT Scharf AG
Römerstr. 104
D-59075 Hamm
phone: +49(0)2381-960212
FAX: +49(0)2381-960311
mail: it@smtscharf.com
WWW: http://www.smtscharf.com
sector: Machine Manufacturing
ISIN: DE0005751986
indexes: CDAX, Classic All Share, Prime All Share
stockmarkets: regulated dealing/prime standard: Frankfurt, free trade: Berlin,
Hamburg, Stuttgart, Düsseldorf, München
language: English

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