Kontron signs contract to acquire Thales Computers

Greater market access and development resources

Eching, Munich, February 20, 2008. Kontron, one of the leading suppliers of embedded computer technology, signed an agreement on February 15th via one of its subsidiary companies to acquire 100% of the shares of the French Thales Computers S.A., a subsidiary of Thales S.A. The closing is expected to take place in March 2008 after approval of the French Ministry of Economy.

The turnover of Thales Computers SA is expected to be more than EUR 20 million for the business year 2008. The company commands particular strength in high-end applications especially in the government, aerospace and transportation sectors. Mr. Ulrich Gehrmann, Management Board Chairman of Kontron AG, stated again that the acquisition would reinforce Kontron’s core business and would provide Kontron with a significant footprint in France.

Founded in 1986, Thales Computers specializes in long term available embedded computer boards and systems based on VME and CompactPCI as well as mezzanine cards. Particular focus is on the full spectrum of PowerPC technology for which Thales Computers also offers the relevant operating system support. Having concentrated in the past on Linux and VxWorks real-time operating systems, the acquisition of Thales Computers enables Kontron to extend its support to include Integrity, LynxOS, RedHat Enterprise, ElinOS and QNX Neutrino amongst others. The overlap between product portfolios is accordingly low. Customers therefore benefit from a larger choice of products, since together both companies offer everything demanded by the VME, CompactPCI and Mezzanine card markets. Kontron can therefore expect larger global turnover in these sectors.

Until now, Kontron has had sales offices in France. The acquisition of Thales Computers will offer French customers more comprehensive local support through native speakers. In addition, Thales Computers’ strong sales presence will further strengthen the turnover of Kontron’s comprehensive product portfolio in France.

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