PRESS RELEASE

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CERATIZIT GROUP acquires KLENK, a leading manufacturer of solid carbide metal cutting tools CERATIZIT S.A., Mamer, Luxembourg (headquarters), June 1, 2015

CERATIZIT S.A. has acquired the German manufacturer of solid carbide

cutting tools Klenk GmbH & Co. KG. The CERATIZIT GROUP is thereby

augmenting its product portfolio with customized solutions for solid

carbide round tools. The purchase is part of the worldwide acquisition

strategy and reinforces the positioning of the CERATIZIT GROUP as a

premium provider of all kinds of cutting tools. The acquisition of KLENK

further advances CERATIZIT’s growth in the aerospace, automotive and

medical technology industries.

With the addition of KLENK, the CERATIZIT GROUP further strengthens its

position in the solid carbide tools market: "It is our aim to be perceived as a

global premium player for all cutting tools," explains Thierry Wolter, member of

the Executive Board of the CERATIZIT GROUP. "With this acquisition we are

expanding the product portfolio." At the same time KLENK will profit from the

global sales network of the CERATIZIT GROUP and its strong presence on the

world market. For its production KLENK will be able to draw rods and blanks

from the competence brand Toolmaker Solutions by CERATIZIT. The solid

carbide tool manufacturer’s own "KLENK" brand will be kept. The takeover by

CERATIZIT was signed on May 28, pending the approval of the antitrust

authorities. Both private companies have agreed not to disclose any financial

details.

Growth in target sectors

The acquisition provides a spurt in the growth of the CERATIZIT GROUP in

important target sectors as KLENK mainly produces solutions for the

aerospace, automotive as well as the medical technology industries. "KLENK is

highly specialized in the aerospace sector," explains Thierry Wolter, member of

the Executive Board of the CERATIZIT GROUP. "With this acquisition we are

investing in new know-how for a worldwide growth market.” Air traffic is set to

double in the next 15 years, while aircrafts reaching the end of their service

lives will be replaced by more efficient and environment friendly aircrafts.

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Correspondingly, the demand for industry-specific metal cutting solutions will

rise.

About KLENK

KLENK has been manufacturing carbide cutting tools since 1959 and counts

120 employees at its site in Balzheim, Germany. Managing Director Horst

Klenk, son of the company’s founder, Rolf Klenk, has been running the

company since 1976. The solid carbide tool manufacturer makes over 85

percent of its turnover with special tools for drilling, countersinking, reaming and

milling as well as regrinding and diamond-coated tools. These tool solutions are

used in the machining of carbon fiber-reinforced plastics, titanium and aluminum

alloys or steels for the aerospace, automotive and medical technology

industries.

Press contact

CERATIZIT S.A.

Sarah Melcher

Communication Manager

101, Route de Holzem

LU-8232 Mamer, Luxembourg

T: +352 31 20 85-494

sarah.melcher@ceratizit.com

www.ceratizit.com

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CERATIZIT – A passionate pioneer in the hard metal industry

For over 90 years, CERATIZIT has been a pioneer developing

exceptional hard material products for cutting tools and wear protection.

The family owned company, headquartered in Mamer, Luxembourg,

develops and manufactures highly specialized tungsten carbide cutting

tools, inserts and rods. The CERATIZIT GROUP is the market leader in

several wear part application areas and develops successful new types

of hard metal, cermet and ceramic grades used for instance in the wood

and stone working industry.

With over 5,800 employees at 22 production sites and a sales network of

over 50 branch offices, CERATIZIT is a global player in the hard metal

industry. The leader in material technology is continuously investing in

research and development and holds over 600 patents. Innovative hard

metal solutions from CERATIZIT are used in machine and tool

manufacturing and many other applications including automotive,

aerospace and oil and gas.

The internationally recognized CERATIZIT GROUP unites the four

competence brands Cutting Solutions by CERATIZIT, Hard Material

Solutions by CERATIZIT, Tool Solutions by CERATIZIT and Toolmaker

Solutions by CERATIZIT. The hard metal expert also includes the

subsidiaries WNT, Günther Wirth and CB-CERATIZIT, as well as the

Californian tool manufacturer PROMAX Tools.