• Company still charting successful course
• Record level of development
• International expansion to continue
• Hagen: "Strong start to 2006"

Detmold/Hanover, April 24, 2006 | The Weidmüller Group – the leading manufacturer of components for electrical connection technology – raised sales by 7 percent to € 385 million in its fiscal year 2005. The company thus continued its successful course.

As part of its strategy to enhance the company’s global competitive standing, Weidmüller expanded its international manufacturing network and integrated numerous innovations into its product and service portfolio during 2005. Weidmüller also reports that it achieved the set targets with regard to raising profitability in 2005.

"Weidmüller succeeded in building on the strong progress of the previous year and continued its successful course in 2005. With the expansion of our international manufacturing network and the integration of new expertise, especially in the field of Industrial Ethernet, we were also able to lay a firm foundation for further growth in 2005. As the technological leader and a company with great integrative strength, Weidmüller has established a strong competitive position. We will use this to take growth opportunities wherever they present themselves," said Thomas H. Hagen, CEO & President of the Weidmüller Group.

Sales by region
Almost one third of the turnover was generated in Germany in 2005; Weidmüller achieved above-average growth for the sector of 6% up to € 117 million. In the rest of Europe, sales grew by around 6% to € 197 million. There was particularly encouraging growth in Spain and France, where Weidmüller achieved double-digit growth rates. In its East European markets, Weidmüller was particularly successful in Turkey and Poland. Due to strong demand for the company’s Process products, year-on-year sales to Russia were up by more than 50%. In the Asia/Pacific region, Weidmüller achieved a turnover of € 44 million. In America, Weidmüller achieved year-on-year growth of over 11 percent with sales of € 27 million.

Record development levels in 2005
In order to secure its market position in the face of ever fiercer market competition, Weidmüller made targeted investments in research and development in 2005. This underlines Weidmüller’s belief that only those companies with the best product and service portfolios will succeed on the market in the long term. A major milestone in 2005 was the integration into the Weidmüller Group of Heyfra Electronic GmbH, a specialist for the development and production of Industrial Ethernet systems, based in Eisleben, Germany. In total, the company’s development activities reached record levels in 2005. Together with investments in new products, research and development expenses amounted to a total of € 31.3 million in 2005 – corresponding to an increase of 36% over the previous year. This means that Weidmüller devoted 8.1% of its turnover to new products in 2005.

International expansion to be continued
In addition to securing and extending its technological lead, a further focus of 2005 was the expansion of Weidmüller’s international manufacturing network. In 2005 Weidmüller continued to strengthen its global presence and its international manufacturing network with the expansion of facilities in Germany and Romania, as well as further activities to complete the company’s Chinese organization. In addition to its highly automated manufacturing, marketing and development center in Germany and the strategic center of excellence for the Asian market in China, Weidmüller’s facility in Romania will provide a platform for developing the growth markets of Eastern Europe.

In the coming months, Weidmüller plans to continue the expansion of its international capacities. The company intends to utilize the respective strengths of its various global facilities even more in the future.

Outlook 2006
Weidmüller is confident about its development in the current fiscal year. "We got off to a strong start in 2006 and expect continued growth once again this year," says Hagen.

Weidmüller will continue to pursue its current strategy. In addition to the extension of its technological leadership and further international expansion of the Weidmüller Group, this also means continued optimization of internal processes. Weidmüller will focus above all on a further reduction in the complexity of its processes.

Hanover Fair 2006
At the Hanover Fair 2006, Weidmüller will be presenting its range of products and services to a wide audience of industry specialists. The technological highlight will be the launch of the "RockStar" range, a new generation of Heavy Duty Connectors in 11 established sizes and with numerous innovative details. Further highlights of the Hanover Fair booth will be the company’s Industrial Ethernet and SAI-Active ranges.

About Weidmüller:
Weidmüller is the leading manufacturer of components for electrical connection technology. The Weidmüller product portfolio ranges from terminal blocks, pluggable and PCB connectors, protected components, Industrial Ethernet components and relay sockets to mains supply and overvoltage protection modules suitable for all applications. Electrical installation and marking materials, basic I/O components and a variety of tools round off the range. As an OEM supplier, the company sets global standards in the field of electrical  connection technology.

In fiscal 2005, Weidmüller generated sales of € 385 million and currently employs some 2,600 people world-wide.