Frost & Sullivan Acknowledges the Ease-of-Adoption and Cost Efficiency of Ceratizit's Automotive Powertrain Tools

LONDON, July 22, 2010 - Based on its recent analysis of the automotive powertrain market, Frost &
Sullivan has recognized Ceratizit SA with the "2010 European Automotive
Powertrain Customer Value Enhancement Award." Ceratizit's new cutting tool,
the Grade CTP3220, exhibits impressive ease-of-adoption, integrating easily
into the existing system without reducing production or creating adverse
learning curves for its operation.

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Ceratizit has managed to keep changes in production line to a minimum.
The only modifications have been reserved for existing clamping solutions and
fixtures, as well as for some of the operating parameters, such as the
cutting speed and feed. These have reduced the tool implementation time for
the customer and, consequently, any production delays.

Increasing the combustion chamber pressure is an important criterion to
achieve better combustion efficiency. However, this increase enlarges the
load on the crankshaft and on the crankshaft bearing caps. Thus, for a Euro5
engine, with a higher operating pressure, the bearing caps are made of
spheroidal cast iron (GGG60), which has better load bearing and vibration
damping characteristics, in contrast to the softer grey cast iron (GG25) of
an Euro4 bearing cap. The significance of Ceratizit's tools is sizable,
especially when compared to previous tools, which fail to machine different
grades of materials.

"The requirement to machine both Euro4 & Euro5 bearing caps and engine
blocks resulted in Ceratizit's response to develop a new cutting tool. The
new cutting tool, Grade CTP3220, enabled the manufacturing of different
bearing caps in the same production line at a manufacturing plant using the
same cutting tool," says Frost & Sullivan Research Analyst Bharath Kumar
Srinivasan. "Ceratizit, while designing the tool, ensured that this cutting
tool can also address future needs. Future needs refer to the use of
Compacted Graphite Iron (CGI), which is considered to be the next generation
of material for diesel engines blocks and GGG70 for the bearing caps."

Ceratizit's policy of working with engineers from its customer site helps
it define its project objective. Ceratizit has eliminated customer concern
for the loss of revenues, due to the significantly reduced life expectancy of
the machining tool previously employed by the customer.

Ceratizit was not only challenged to create a tool that would manufacture
both materials with the required tolerances and surface quality, but also to
provide it in the shortest time span. It achieved the target in 2 months
through the design, production and testing necessary to confirm the new
design's capability to handle multiple materials.

The short-term effect of this breakthrough is that customers can avoid
the issue of daily loss resulting from lower tool life. The mid-term benefit
is that Ceratizit can shape both the grey cast iron and spheroidal cast iron
of engine components. Finally, the long-term benefit is that the tool is now
capable of machining CGI.

An added advantage is that Ceratizit's new tool saves net costs by 5 per
cent to 30 per cent through improved tool life and reduced manufacturing
time. Depending on the existing application, the average increase in tool
life is around 30 per cent to 100 per cent. Ceratizit's Grade CTP3220 to OPEL
has not only enabled multi-material machining, but has also enhanced the tool
life to 1400 units.

A tool possessing a longer working life, when machining multiple
materials, reduces the tool changing time, switching between each material in
a production line. It also reduces the eventual replacement of the tool. One
of the foremost advantages of achieving multi-material machining through
Ceratizit's Grade CTP3220 has been the reduced time necessary to machine the
blocks, due to the higher cutting speed and feed.

"The use of directly pressed inserts, and the combination of the
above-mentioned features, has resulted in a cost-effective solution in terms
of tool life and reduced manufacturing time," notes Srinivasan. "The most
significant part, with respect to cost reduction, has been that Ceratizit did
this as part of its normal service without any additional charge."

Each year, Frost & Sullivan presents this award to the company that has
demonstrated excellence in implementing strategies that proactively create
value for its customers with a focus on improving the return on the
investment that customers make in its services or products. This Award
recognizes the company's inordinate focus on enhancing the value that its
customers receive, beyond simply good customer service, leading to improved
customer retention and ultimately customer base expansion.

Frost & Sullivan Best Practices Awards recognize companies in a variety
of regional and global markets for demonstrating outstanding achievement and
superior performance in areas such as leadership, technological innovation,
customer service, and strategic product development. Industry analysts
compare market participants and measure performance through in-depth
interviews, analysis, and extensive secondary research in order to identify
best practices in the industry.

About Ceratizit SA

Luxembourg-based Ceratizit is one of the world's top five producers of
hard materials and it spans over 50 countries with its sales and service
support. The global player is a niche supplier active in crankshafts, brake
discs and aluminium wheel rims markets with supplies to the global auto
industry. Accounting for around 50 per cent of the market share in aluminium
wheel rims, Ceratizit is the market leader in this segment.

Ceratizit is one of the top global players in hardmetals and tools with
sales of 610 million Euros. The merger of Cerametal and Plansee Tizit in
November 2002 resulted in Ceratizit. With both companies dealing with
carbide, hard materials for wear protection, and cutting tools, the merger
made Ceratizit one of the leading companies in this industry.

    Ceratizit SA Contact Information
    Rudolf Stricker
    A-6600 Reutte
    Austria
    Tel: +43(0)5672200-2680
    Fax: +43(0)5672200-526
    rudolf.stricker@ceratizit.com
    www.ceratizit.com

About Frost & Sullivan

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    Frost & Sullivan Contact Information
    Chiara Carella
    Corporate Communications - Europe
    P: +44-(0)-20-7343-8314
    E: chiara.carella@frost.com

Rudolf Stricker of Ceratizit SA, +43(0)5672200-2680, Fax +43(0)5672200-526, rudolf.stricker at ceratizit.com; or Chiara Carella of Frost & Sullivan, Corporate Communications - Europe, +44-(0)-20-7343-8314, chiara.carella at frost.com