Niederweningen, 7 August 2008

Bucher Industries continued to grow at a strong pace during the first half of 2008 despite adverse currency effects. Sales advanced by 19% to CHF 1 450 million. Order intake reached CHF 1 383 million, up 18% on the same period last year. Operating profit increased by 41% to CHF 132 million, and the Group's profit for the period rose by 32% to CHF 89 million.

Momentum in the markets served by Bucher Industries was extremely strong during the first half of 2008 despite the financial crisis, rising interest rates and the soaring energy and raw material prices. The Group increased sales by 18.5% to CHF 1 449.5 million, up 22.8% excluding currency effects. With the strong order book at the start of the year and order intake rising by 18.3% to CHF 1 382.8 million, capacities were utilised. Although the weak US dollar and British pound reduced the margins on Swiss franc and euro zone exports, operating profit was 41.2% ahead of the year-ago period at CHF 132.0 million. The EBIT margin improved from 7.6% to 9.1%. The Group's profit for the period grew by 31.5% to CHF 89.3 million.

The strong momentum in the market for specialised agricultural machinery was fuelled by attractive prices of staple foods and bioenergy production. All regions contributed to the upturn in sales, with the highest growth rates being recorded in Europe, in particular Eastern Europe and Russia, as well as Brazil. In this positive environment, Kuhn Group generated CHF 607.8 million in sales, up 22.2% or currency-adjusted 27.6%. Order intake rose by 27.2% to CHF 489.5 million, and operating profit reached CHF 66.0 million, a 45.1% increase over the same period last year. The adverse movem ents in the US dollar and British pound were more than compensated by the high volume and efficient, flexible production.

Demand for municipal vehicles remained stable at a high level through the first half of 2008. Sales rose by 8.1% or currency-adjusted 13.4% to CHF 281.9 million, driven by the strong order book at the beginning of the year. Order intake reached CHF 282.0 million, a slight decrease of CHF 7.0 million on the high year-ago figure, but an increase of CHF 8.7 million excluding currency effects. Operating profit grew by 11.8% to CHF 16.1 million. Continuous improvements and the new assembly shop for truck mounted sweepers that came into operation in Latvia brought a further upturn in profitability. With the major order received from Thailand in July for 104 truck mounted sweepers, Bucher Municipal continued to expand its position in the Asian market.

Rising consumption of quality wines worldwide, a recovery in the largest market, France, and the high prices of apples and apple juice concentrate fuelled capital spending. The division posted sales of CHF 85.4 million, topping the year-ago figure by 34.9% or currency-adjusted 36.4%. This growth was largely due to the major order to supply fruit juice presses to China. Order intake was up 9.1% to CHF 94.5 million. Operating profit climbed from CHF 2.0 million to CHF 6.4 million, driven by good capacity utilisation.

Momentum in demand for hydraulic systems remained strong worldwide in the first half of the year. A slowdown was only felt in the USA in sectors other than agriculture. With its good foothold in diverse market segments and its strong position in Europe, the division increased sales by 41.1% or currency-adjusted 45.9% to CHF 270.9 million. Monarch Hydraulics Inc., the US company acquired at the beginning of the year, contributed about half of the sales growth. Order intake was up 32.9% year on year to CHF 266.7 million. Operating profit rose to CHF 38.4 million, 38.1% ahead of the same period last year.

The glass container industry continued to expand capacities during the first six months of 2008. Emhart Glass generated CHF 206.4 million in sales of glass container manufacturing equipment, a decline of 3.1% or currency-adjusted 1.9% compared with the high figure a year ago. Order intake was well ahead of the record level in the same period last year, rising by 20.7% to CHF 250.1 million. Demand was particularly strong in the regions of Eastern Europe, the Middle East, Russia, South East Asia and China. Operating profit reached CHF 16.1 million, up 11.8% year on year. The new assembly shop in Malaysia is expected to come into operation at the beginning of 2009.

The favourable business trend should continue through the second half of this year. The robust state of the markets and consequently good capacity utilisation rates should more than compensate for the adverse currency effects. For the full year, Kuhn Group, Bucher Process and Bucher Hydraulics anticipate double-digit percentage growth in sales, while Bucher Municipal and Emhart Glass predict single-digit growth rates. Overall, Bucher Industries therefore expects to deliver a significant increase in sales and operating profit, with further improvement in profit for the year.

Contact
Philip Mosimann, CEO
Roger Baillod, CFO

Bucher Industries AG
Phone +41 43 815 80 88
Fax +41 43 815 80 81

Last year, Bucher Industries celebrated its 200th anniversary commemorating its successful evolution from a blacksmith's shop to a global technology group with leading market positions in speciality areas of mechanical and vehicle engineering. The company's operations currently include specialised agricultural machinery, municipal vehicles, wine and fruit juice production equipment, hydraulic components, and manufacturing equipment for the glass container industry. Bucher Industries' shares are traded on the SWX Swiss Exchange (SWX: BUCN).