Eastern European Markets
October, 5. 2005

KCI Konecranes signs agreement with Ukrainian port operator

Ukrainian terminal operator UkrTransKonteiner, KCI Konecranes and its Ukrainian crane manufacturer partner Zaparozhcrane have today signed a co-operation agreement on the development of the Iljicevski marine merchant port (IMMP) in Ukraine.

The agreement was signed today at the “Finnish-Ukrainian Business Forum” held in connection with the Finnish Prime Minister Matti Vanhanen’s visit in Kiev, Ukraine. The Ukrainian Vice-Prime Minister, Mr Stanislav Stashevski and a business delegation from Finland headed by Mr. Stig Gustavson, Chairman of KCI Konecranes, also attended the seminar.

The Iljicevski seaport has announced a program for the development of a new container terminal. The program aims at improving the turnaround times for ships and thereby increase the container traffic to the port. The service level will be improved to meet international standards by modernising all container handling equipment with the latest technology. By developing uninterrupted operations, IMMP can attract more customers and become the leading container terminal in Ukraine.

The development program is based on selecting high quality partners and equipment suppliers using modern methodologies and reliable technology.

The Ukrainian Ministry of Transport and IMMP have selected UkrTransKonteiner to become the operator of the new container terminal. Within this agreement KCI Konecranes and Zaparozhcrane have been selected to develop in co-operation container handling technology for the port including new generation Ship-to-Shore container cranes (STS) and Rail Mounted Gantry Cranes (RMG). KCI Konecranes has earlier supplied IMMP with two STS-container cranes, five RMG-cranes and is currently delivering a new level-luffing crane. During the last ten years KCI Konecranes has also been involved in numerous modernisation projects at the port.

About KCI Konecranes
KCI Konecranes is a world leading engineering group specialising in advanced overhead lifting solutions and maintenance services. KCI Konecranes is the world's leading supplier of heavy-duty cranes for process industries and shipyards. KCI Konecranes is a global supplier of special harbour cranes for bulk materials and containers and of mobile container handling equipment like Reach Stackers and Lift Trucks. In 2004, Group sales totalled EUR 728 million. The Group has 4,900 employees in 35 countries all over the world.

For further information:
Seppo Hoppu, Director, Cranes & Services, North-East Europe
phone: +358-020 427 4100
Helsinki Stock Exchange
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