DGAP-News: SMA Solar Technology AG: Managing Board of SMA

DGAP-News: SMA Solar Technology AG / Key word(s): Miscellaneous SMA Solar Technology AG: Managing Board of SMA Anticipates Difficult Fiscal Year 2015 and Plans Global Staff Reductions 26.01.2015 / 21:19 --------------------------------------------------------------------- SMA Solar Technology AG - Corporate News Managing Board of SMA Solar Technology AG Anticipates Difficult Fiscal Year 2015 and Plans Global Staff Reductions Niestetal, January 26, 2015-The Managing Board of SMA Solar Technology AG (SMA/FWB: S92) is anticipating a difficult fiscal year 2015 and a decline in sales. For 2014, the Managing Board is confirming the upper end of the sales forecast of EUR790 million and a loss of up to EUR115 million (excluding provisions for the planned staff reductions). Due to the lower level of sales, the SMA Managing Board is planning to cut approximately 1,600 full-time positions in all functional areas by June 30, 2015. "We expect to see high price pressure on the global photovoltaic market still in the coming years and a further decline in demand in Europe, particularly in Germany. By contrast, the non-European markets will develop positively. This means, that although the market measured in gigawatts will continue to grow in the medium term, we expect to see a global decline when measured in euros. To return to profitability in this environment, we want to make adjustments to SMA's structures in line with the lower sales level. This is the only way that we can break even with reduced sales. In this context, global staff reductions are unfortunately unavoidable. We have already defined extensive measures that we will discuss with the Works Council over the next weeks," said SMA Chief Executive Officer Pierre-Pascal Urbon. "However, the effects of these measures will not emerge until the second half of the year at the earliest, meaning that SMA will probably not yet return to profitability in the current fiscal year." With net cash of approximately EUR220 million, SMA will be able to finance the transformation and the implementation of the strategy with its own resources, Urbon continued. In relation to the 4,667 full-time positions (excluding temporary employees) as of December 31, 2014, the SMA Managing Board is planning to cut approximately 1,600 full-time positions worldwide by June 30, 2015. Approximately 1,300 full-time positions in Germany and approximately 300 full-time positions at SMA's international locations are affected. The cutback targets of over 600 full-time positions that were announced last year are included in these figures. The SMA Managing Board strives to achieve a socially responsible staff reduction. However, compulsory layoffs cannot be ruled out at the current date. The Managing Board will provide details on the transformation concept for SMA and the outlook for the fiscal year 2015 at the 7th Capital Markets Day in Kassel this Friday, January 30, 2015, and will inform employees and the general public. About SMA The SMA Group generated sales of more than EUR930 million in 2013 and is the global market leader for solar inverters, a key component of all PV plants. SMA offers innovative key technologies for future power supply structures. It is headquartered in Niestetal, near Kassel, Germany, and is represented in 21 countries. The Group employs more than 5,000 people worldwide. SMA's broad product portfolio includes a compatible inverter for every type of module on the market and for all plant sizes. The product range includes both inverters for grid-connected photovoltaic plants as well as off-grid and hybrid system technology. The product portfolio is supplemented by comprehensive services and operational management of utility-scale PV plants. Since 2008, the Group's parent company, SMA Solar Technology AG, has been listed on the Prime Standard of the Frankfurt Stock Exchange (S92) and also in the TecDAX index. SMA Solar Technology AG Sonnenallee 1 34266 Niestetal Germany Head of Corporate Communications: Anja Jasper Tel.: +49 561 9522-2805 Presse@SMA.de Press contact: Susanne Henkel Manager Corporate Press Tel.: +49 561 9522-1124 Fax +49 561 9522-421400 Presse@SMA.de Investor Relations contact: Julia Rother Manager Investor Relations Tel. +49 561 9522-2222 Fax +49 561 9522-2223 IR@SMA.de Disclaimer: This corporate news serves only as information and does not constitute an offer or invitation to subscribe for, acquire, hold or sell any securities of SMA Solar Technology AG (the "Company") or any present or future subsidiary of the Company (together with the Company, the "SMA Group") nor should it form the basis of, or be relied upon in connection with, any contract to purchase or subscribe for any securities in the Company or any member of the SMA Group or commitment whatsoever. Securities may not be offered or sold in the United States of America absent registration or an exemption from registration under the U.S. Securities Act of 1933, as amended. This corporate news can contain future-oriented statements. Future-oriented statements are statements which do not describe facts of the past. They also include statements about our assumptions and expectations. These statements are based on plans, estimations and forecasts which the Managing Board of SMA Solar Technology AG (SMA or company) has available at this time. Future-oriented statements are therefore only valid on the day on which they are made. Future-oriented statements by nature contain risks and elements of uncertainty. Various known and unknown risks, uncertainties and other factors can lead to considerable differences between the actual results, the financial position, the development or the performance of the corporation and the estimates given here. These factors include those which SMA has discussed in published reports. These reports are available on the SMA website at www.SMA.de. The company accepts no obligation whatsoever to update these future-oriented statements or to adjust them to future events or developments. --------------------------------------------------------------------- 26.01.2015 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de --------------------------------------------------------------------- Language: English Company: SMA Solar Technology AG Sonnenallee 1 34266 Niestetal Germany Phone: +49 (0)561 / 9522 - 0 Fax: +49 (0)561 / 9522 - 100 E-mail: info@sma.de Internet: http://www.sma.de ISIN: DE000A0DJ6J9 WKN: A0DJ6J Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin, Düsseldorf, München, Stuttgart End of News DGAP News-Service --------------------------------------------------------------------- 316471 26.01.2015