AT&S posts profit warning

AT&S will not reach its full year earnings target due to one-time-effects reaching EUR 4 million, mainly due to the consequences of a technical problem during the relocation of the Fohnsdorf plant as well as to additional costs of the restructuring in India. The management now estimates that the Earnings per Share (EPS) will reach EUR 1.10 instead of EUR 1.25. These one-time-effects do not have consequences on either the sales guidance of AT&S (EUR 375 mil. for 05/06) or on the ongoing buisiness. All AT&S plants are fully loaded and this situation will last, from today's point of view, until the end of this financial year as well as for the next year. Concerning the mentioned technical problem, which occurred during the relocation of the Fohnsdorf plant into the Leoben plant, the ramp-up of a complete production process (photo process) did not work. In order to meet the customers requirements, AT&S was obliged to off-load this production process to a third party. This resulted in a delay in the production of the Fohnsdorf plant as well as in a reduced sales figure for November. The additional production through an external company also negatively influenced the cost situation and has resulted in increased logistic expenses.