Niederweningen, 18 October 2006

Bucher Industries has signed an agreement to dispose of its non-core multi-purpose utility vehicle business in Italy to private Italian industrial investors. The new owners have extensive experience in vehicle manufacturing and will continue operations at the present site in Arielli, Italy. The purchase price is not being disclosed.

The disposal of the multi-purpose utility vehicle business is another step in Bucher Municipal's strategy to concentrate on its core business of sweepers and winter service equipment in Europe. Bucher Schörling Italia S.p.A. is focused on the design, manufacturing and sale of multi-purpose vehicles in Europe and employs 36 people, with 2006 sales estimated at EUR 12 million. The parties have agreed not to disclose the purchase price. The new owners will take over 100% of the share capital of Bucher Schörling Italia S.p.A. on 1 January 2007.

The multi-purpose utility vehicles made by Bucher Schörling Italia S.p.A. ideally complement the existing businesses of the new owners. Its dealer network in Italy and other countries will be maintained and strengthened. After sales service and spare parts supply will be continued and assured in ongoing operations. On 1 January 2007, the company will be renamed.

Bucher Industries is a global technology group with leading market positions in specialty areas of mechanical and vehicle engineering. The company's operations include specialized agricultural machinery, municipal vehicles, wine and fruit juice production plants, hydraulic components, and production equipment for the glass container industry. Bucher Industries' shares are traded on SWX Swiss Exchange (SWX: BUCN).


Contact
Philip Mosimann, CEO
Roger Baillod, CFO
Phone +41 44 857 22 07