Subject: LVD AND HD ESTABLISH JOINT VENTURE COMPANY IN CHINA

Dear Sir,

Gullegem, Belgium -- LVD Company n.v. and Hubei Tri-Ring Metalforming Equipment Co.,Ltd. (HD) have formed a joint venture company in Huangshi City, Hubei Province, China.

The joint venture company will produce LVD sheet metalworking equipment, including turret punch presses, Laser cutting systems, and CNC press brakes, as well as HD’s own design machinery, for the Chinese and export markets.

Production from the new joint venture will complement LVD’s existing production facilities in Belgium, USA, France, Slovakia and Romania and will provide key capacity for LVD and HD’s strategic growth plans.

HD is a long-time licensee of LVD and has been manufacturing and selling select models of LVD press brakes and shears since 1981. More recently, since 2000, select Strippit CNC turret punch presses have also been manufactured and sold in China.

HD is a state-owned enterprise employing over 1000 people in three plants. The company specializes in manufacturing CNC precision equipment, and has been recognized for the quality of its workmanship and skill of its workforce. Its main factory is especially well equipped to manufacture highly specialized large press brakes up to 10.000 ton – 12.5 m in capacity, geared toward offshore, energy, oil and gas applications.

"The joint venture is a milestone in LVD and HD’s successful partnership,” said LVD Chairman, Jean-Pierre Lefebvre. “This venture brings together the design, engineering, manufacturing, and marketing strengths of our two companies and provides us the means of delivering advanced technology sheet metalworking products and solutions to a wider customer base in China and elsewhere in the world.”

The joint venture will be managed by Mr. Wan Jiasi, general manager.

For LVD, the joint venture is another key step in the company’s corporate growth strategy to expand its brand globally and support customers in their local market.

The LVD Group is a leading manufacturer of a comprehensive range of sheet metal/plate working machine tools and software solutions, including Laser cutting systems, punch presses, press brakes, guillotine shears and mid-level automation systems, integrated and supported by its CADMAN® PC-based Windows® compatible software.

Photo caption:

HD applies LVD design and production technology to manufacture large press brakes up to 10,000 tons. LVD and HD have established a joint venture company in China to produce CNC press brakes, turret punch presses, and Laser cutting systems.

We shall be in further contact in due course.

Yours Sincerely

Narasinga Rao
Magal LVD India Pvt Ltd
Managing Director