INCAP LOWERS ITS RESULT ESTIMATE FOR THE YEAR 2009 AND PREPARES INCREASE OF SHARE CAPITAL

Incap Corporation    Stock exchange release

4 February 2010 at 9.15 a.m.



INCAP LOWERS ITS RESULT ESTIMATE FOR THE YEAR 2009 AND PREPARES INCREASE OF SHARE CAPITAL


Based on the possible closing down of Vuokatti factory, Incap recognises a total of approx. EUR 2.5 million of non-recurring expenses in its fourth quarter result 2009. After the recognition, Incap Group’s full-year operating profit 2009 is estimated, according to preliminary calculations, to be approx. EUR 4.9 million negative. Taking into consideration the provision made for the financial year 2008, there is altogether EUR 3.1 million reserved for the restructuring of production.


Incap estimated in the interim report published on 4 November 2009 that its operating result for the latter half of the year will be better than of the first half of the year and that the operating result for the whole year is clearly better than in 2008. Operating result of the first half of the year 2009 was 1.0 million negative. Full-year operating result for 2008 was 3.6 million negative. Incap’s revenue for 2009 is EUR 70 million as estimated previously.


In order to strengthen the company’s financial position, the Board of Directors plans a rights issue, which will be implemented or decided at the latest in the Annual General Meeting that will be held on 13 April 2010. The Board has an authorisation from the Annual General Meeting in 2009 to increase the share capital through one or more rights issues so that the total number of new shares to be subscribed for on the basis of the authorisation is a maximum of 1,200,000 shares.


Incap will publish its financial statement for 2009 on Wednesday 24 February 2010.



INCAP CORPORATION


Sami Mykkänen

President and CEO



Further information:

Sami Mykkänen, President and CEO, Tel. +358 40 559 9047

Eeva Vaajoensuu, CFO, Tel. +358 40 763 6570

Hannele Pöllä, Director, Communications and HR, Tel. +358 40 504 8296


DISTRIBUTION

NASDAQ OMX Helsinki Ltd

Principal media

www.incap.fi



INCAP IN BRIEF

Incap Corporation is an internationally operating contract manufacturer whose comprehensive services cover the entire life-cycle of electromechanical products from design and manufacture to after-sales services. Incap’s customers include leading equipment suppliers in energy efficiency and well-being technologies, for which the company produces competitiveness as a strategic partner. Incap has operations in Finland, Estonia and India. The Group’s revenue in 2008 amounted to EUR 94 million and the company currently employs approximately 770 people. Incap’s share is listed on the NASDAQ OMX Helsinki. Additional information: www.incap.fi.