PDF [2.4 MB] - Kolbenschmidt Pierburg AG
PDF [2.4 MB] - Kolbenschmidt Pierburg AG
PDF [2.4 MB] - Kolbenschmidt Pierburg AG
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Orders up by<br />
around 60 percent<br />
Wiesbaden. A leading supplier of<br />
X-ray scanners, the Wiesbaden-based<br />
Heimann Systems group has once<br />
again shown a sharp surge in orders<br />
received. Following the 50-percent<br />
gain in 1999, orders booked in 2000<br />
will rise by around 60 percent to just<br />
under € 156 million (up from € 98<br />
million), order backlog advancing<br />
commensurately by a predicted just<br />
under 89 percent to over € 98 million<br />
(up from € 52 million in 1999). Due to<br />
invoice timing technicalities, sales at<br />
The latest news from the Rheinmetall group 5/2000<br />
Newsline<br />
Das Profil<br />
Newsline<br />
Shareholders’ letter of <strong>Kolbenschmidt</strong> <strong>Pierburg</strong> <strong>AG</strong> – orders buoyant<br />
Automotive’s profitability healthy<br />
Düsseldorf. As reported in the most<br />
recent newsletter from the management<br />
holding <strong>Kolbenschmidt</strong> <strong>Pierburg</strong> <strong>AG</strong>, the<br />
<strong>Kolbenschmidt</strong> <strong>Pierburg</strong> group continued<br />
its successful performance in the<br />
third quarter of 2000, with sales up by<br />
approximately 19 percent to €1.315 billion<br />
(period between January and September<br />
2000). EBDIT in the first nine<br />
months of 2000 totaled €141.6 million,<br />
at €18.7 million this being clearly higher<br />
than last year (plus 15.2 %). EBT totaled<br />
€31.1 million compared to €3<strong>2.4</strong> million<br />
in the related period last year. The<br />
group which had a workforce of 12,315<br />
persons worldwide at the end of September,<br />
has full order books and anticipates<br />
sales distinctly above €1.7 billion<br />
for the entire fiscal 2000.<br />
Developments in detail: The third<br />
quarter of 2000 saw an impressive<br />
continuation of <strong>Kolbenschmidt</strong> <strong>Pierburg</strong>’s<br />
successful first six months’ performance,<br />
with year-earlier sales in the<br />
third quarter beaten by almost 14 percent<br />
in the period July through September<br />
2000. The major ingredients of this<br />
sales boost were the acquisition of Magneti<br />
Marelli’s pump business at the<br />
start of 2000, a high-riding US dollar,<br />
and organic growth. As a consequence,<br />
<strong>Kolbenschmidt</strong> <strong>Pierburg</strong> was able<br />
to capitalize on the ongoing upswing in<br />
a number of important markets to<br />
achieve for itself even greater gains.<br />
The group was unaffected by faltering<br />
demand for new cars, especially in Germany,<br />
this sluggish situation continuing<br />
into the 3rd quarter of 2000. German<br />
carmakers were able to outweigh<br />
slumping domestic demand with further<br />
export advances and <strong>Kolbenschmidt</strong><br />
<strong>Pierburg</strong> penetrated deeper<br />
into attractive foreign markets.<br />
In a period invariably weak on account<br />
of annual vacation shutdowns,<br />
the group nonetheless generated a<br />
pretax profit. At a total € 31.1 million for<br />
the nine months ended 30 September<br />
2000, this is almost a repeat of the<br />
successful € 3<strong>2.4</strong> million for the 1999<br />
nine-month period. At € 38.8 million,<br />
EBIT reached the good 9-month figure<br />
for 1999 (€ 39.2 million) while the EBIT<br />
margin for the first nine months of this<br />
year amounted to 3.0 percent. Sales<br />
are expected to continue positively in<br />
the fourth quarter of 2000.<br />
€ 110 million will be slightly below<br />
the € 117 million for 1999.<br />
The jump in orders during 2000 is<br />
mainly due to healthy business in<br />
freight scanners and success in the<br />
keenly contested U.S. market for baggage<br />
scanning systems, product inspection<br />
units (especially in the food<br />
industry) and in the biometric sector.<br />
Meriting special mention is the breakthrough<br />
in the U.S. market where for<br />
the first time the Federal Aviation<br />
Administration (FAA) awarded Heimann<br />
Systems a megaorder for hand<br />
baggage scanning systems.<br />
Added momentum was generated<br />
Automotive inside: <strong>Kolbenschmidt</strong><br />
<strong>Pierburg</strong> delivers the complete aluminum<br />
engine block, pistons, plain bearings<br />
as well as oil and water pumps<br />
for Porsche’s 6-cylinder Boxter engine.<br />
With sales of € 1.315 billion between<br />
January and September 2000, <strong>Kolbenschmidt</strong><br />
<strong>Pierburg</strong> generated 18.6 per-<br />
(Continued on page 2)<br />
by new international security requirements<br />
effective from 2003 for 100percent<br />
control of check-in luggage at<br />
airports. A case in point: Heimann Systems<br />
won a massive order for fitting<br />
out Düsseldorf airport with an X-ray<br />
system for fully automatic explosives<br />
detection.<br />
Heimann Systems is a subsidiary of<br />
Aditron <strong>AG</strong>, which comprises the Electronics<br />
sector within the Rheinmetall<br />
group. With more than 16,000 units<br />
and systems installed in 150 countries,<br />
the Heimann Systems group has<br />
established itself as a world leader in<br />
the market for scanners used in X-raying<br />
mail, luggage, and cargo.
Newsline<br />
Shareholders’ letter of <strong>Kolbenschmidt</strong> <strong>Pierburg</strong> <strong>AG</strong> – orders buoyant<br />
Automotive’s profitability healthy<br />
(Continued from page 1)<br />
cent or € 206 million more sales than<br />
in the same year-earlier period. Non-<br />
German sales, especially high in the<br />
first six months, remained steady at 66<br />
percent for the first three quarters.<br />
Newcomers Zollner Pistons and Magneti<br />
Marelli pumps together contributed<br />
€ 96 million to sales while the euro’s<br />
frailty added another €33 million,<br />
compared with 1999. Hence, the remaining<br />
€ 77 million (up 7 percent) attributable<br />
to organic growth clearly outpaced<br />
worldwide automobile output of 5.5<br />
percent. All the divisions played their<br />
part in this vigorous internal growth.<br />
Discounting the acquisitions, parity<br />
changes and division reshuffles, air<br />
supply/ pumps added €14 million, pistons<br />
€26 million, plain bearings €14<br />
million, aluminum technology €14 million,<br />
and motor service € 8 million to<br />
the group’s growth.<br />
The rapid like-for-like expansion of sales<br />
in the first nine months of 2000 was<br />
engendered both by successful product<br />
start-ups and substantial increases in<br />
shipments of existing products. Moreover,<br />
customers continued to call off in<br />
large quantities products which, in fact,<br />
had been earmarked for phase-out.<br />
From January to September 2000, the<br />
Automotive group spent € 121 million<br />
on additions to tangible assets (including<br />
leased assets), thus exceeding by<br />
around 6 percent the level of depreciation<br />
(including rental expenses). The capital<br />
expenditure (including leases) of<br />
€45 million in the third quarter of 2000<br />
was again mainly related to new OEM<br />
projects which over the years ahead will<br />
sow the seeds for further lucrative growth.<br />
These include fresh orders for magnesium<br />
intake manifolds, electropneumatic<br />
valves, electronic EGR systems,<br />
and new types of pistons for direct-injection<br />
diesel engines. Another<br />
focus of expenditure was the continuation<br />
of low-pressure casting projects for<br />
engine blocks, whose series production<br />
is due to be launched in 2001. The<br />
rationalization and improvement of manufacturing<br />
processes were further focal<br />
expenditures.<br />
With spending heavy in the final quarter<br />
of 2000, 12-month capital expenditure<br />
by <strong>Kolbenschmidt</strong> <strong>Pierburg</strong> will, in<br />
absolute terms, once again match the<br />
year-earlier level, although measured<br />
against the sharp gain in sales, relative<br />
expenditure in 2000 will be underproportionate.<br />
The appreciable rise in depreciation<br />
is attributable to the salesrelated<br />
heavy spending in 1999 and<br />
2000. As a proportion of sales, however,<br />
depreciation was up only slightly.<br />
As of 30 September 2000, the <strong>Kolbenschmidt</strong><br />
<strong>Pierburg</strong> group had a workforce<br />
of 12,315. Because of successful<br />
rationalization efforts and despite higher<br />
sales, the total headcount was around<br />
100 below that at the close of the<br />
first two quarters in 2000. Compared<br />
with 30 September 1999, the group employed<br />
only an additional 527 persons,<br />
457 of which at Livorno, Italy. Hence,<br />
the gain is almost exclusively due to the<br />
acquisition of Magneti Marelli’s pump<br />
operations, and so the organic growth<br />
of around 7 percent has been engendered<br />
with no significant workforce expansion.<br />
This trend is the outcome of<br />
both successful shakeup projects (including<br />
at the Zollner location of Fort<br />
Wayne, USA) and a reshuffled product<br />
mix containing a higher proportion of<br />
outsourced items. The sole reasons for<br />
the pronounced increase in personnel<br />
expenses are the addition of the Zollner<br />
and Magneti Marelli pump operations<br />
and the weaker euro versus the U.S.<br />
dollar. As a percentage of sales, these<br />
expenses declined.<br />
As to earnings: At €38.8 million, EBIT<br />
by <strong>Kolbenschmidt</strong> <strong>Pierburg</strong> for the first<br />
nine months of 2000 was virtually the<br />
same as for the first three quarters of<br />
1999 (€39.2 million). EBT for the period<br />
reached € 31.1 million (down from<br />
€3<strong>2.4</strong> million). At €141.6 million, EBDIT<br />
hiked up 15.2 percent or €18.7 million.<br />
Four of the six divisions achieved appreciably<br />
improved results compared<br />
with 1999, thus maintaining the<br />
group’s earnings level.<br />
Despite having to pay for the restructuring<br />
at Zollner, the pistons division<br />
managed to extend its earnings, thanks<br />
mainly to the German and Brazilian<br />
operations. Buoyant business in the<br />
European market meant that earnings<br />
by the plain bearings division topped<br />
the already high year-earlier level.<br />
Aluminum technology as the engine<br />
block division managed to pare quite<br />
appreciably its year-earlier losses<br />
through substantial increases in series-<br />
2<br />
production sales in the course of this<br />
year and is budgeted to break even by<br />
2001. Motor service, the aftermarket division,<br />
more than doubled earnings<br />
over the first three quarters of 1999.<br />
With earnings down to €5.1 million, the<br />
air supply & pumps division failed to<br />
come up to expectations, due to the release<br />
of an accrual providing for € 4.2<br />
million in 1999 and now redundant<br />
and, especially, the phase-out of profitable<br />
products while low-profit products<br />
were ordered in large numbers. Invoice<br />
timing technicalities meant that MotorEngineering<br />
earnings were down.<br />
The soft Euroland currency eroded the<br />
overall earnings when the negative<br />
dollar earnings of the US companies<br />
were translated into euros in <strong>Kolbenschmidt</strong><br />
<strong>Pierburg</strong> accounts. The group<br />
has made the most of its substantial organic<br />
growth in order to fully offset such<br />
profit shrinking factors as cost inflation<br />
and price squeeze. For the first three<br />
quarters of 2000, the return on equity<br />
(ROE) reached 17.3 percent while the return<br />
on total capital employed (ROCE)<br />
amounted to 11.3 percent.<br />
The prospects: The group is confident<br />
as to the rest of the year that, just as the<br />
preceding three quarters, the fourth will<br />
again show a significant improvement<br />
over 1999. As a consequence, 12month<br />
sales by the <strong>Kolbenschmidt</strong> <strong>Pierburg</strong><br />
Group are likely to comfortably exceed<br />
€ 1.7 billion. Earnings in the<br />
fourth quarter are not expected to quite<br />
match the exceptionally high level of<br />
a year ago. Present order schedules<br />
from the OEMs will allow the group to<br />
launch into 2001 with sales again up.<br />
Newsline<br />
Newsline is a summary of the most<br />
important news articles published<br />
in “Das Profil”, the company newspaper<br />
of the Rheinmetall group<br />
Publisher: Rheinmetall <strong>AG</strong><br />
P.O. Box 104261, D-40033 Düsseldorf<br />
Responsible: Dr. Klaus Germann<br />
Editor-in-chief: Rolf D.Schneider<br />
Issue: December 2000/January 2001
Newsline<br />
European Works Council operational<br />
Düsseldorf. Established: the new<br />
European Works Council (EWC) for<br />
Rheinmetall’s companies in EU member<br />
states and Switzerland officially<br />
started work a few weeks ago. The<br />
EWC established during the constituent<br />
meeting held on 15 November<br />
2000 in the Relaxa Hotel at Ratingen<br />
has 13 members from seven countries:<br />
Erik Merks (6th r/chairman of<br />
the EWC – STN Atlas Marine Electronics/Hamburg),<br />
Manfred Solmersitz<br />
(r – STN Atlas Elektronik/Bremen),<br />
Leopold Degyse (2nd r –<br />
SAIT/Zeebrugge), Gerhard Wille (3rd r<br />
– Richard Hirschmann Austria/Rankweil),<br />
Gerhard Grasmeier (4th r – KS<br />
Gleitlager/St. Leon-Roth), Dietrich<br />
Moh (5th r – <strong>Pierburg</strong>/Neuss), Peter<br />
Winter (2nd l – STN Atlas Elektronik/Bremen),<br />
Friedhelm Henzel (4th l<br />
– Heimann Systems/Wiesbaden),<br />
Antonio Reis Vilaca (5th l – Electromecânica<br />
Portogesa/Trofa), Fabrice<br />
Rossi (7th l – Société Mosellane de<br />
Pistons/Thionville), Cor von der Ploeg<br />
(8th l – RadioHolland Marine/ Rotter-<br />
Good marks for<br />
Automotive<br />
Düsseldorf. For the first time, the international<br />
rating agencies Moody’s<br />
and Standard & Poor’s analyzed <strong>Kolbenschmidt</strong><br />
<strong>Pierburg</strong> <strong>AG</strong>, Düsseldorf.<br />
Standard & Poor’s rated <strong>Kolbenschmidt</strong><br />
<strong>Pierburg</strong> with “BBB” for longterm<br />
and “A-2” for short-term liabilities.<br />
Moody’s assessed the company<br />
with “Baa2” for the long-term issuerrating.<br />
These indications are positive<br />
dam) and Michael Ahlmann (3rd l –<br />
STN Atlas Elektronik/Bremen). Ahlmann<br />
stood in for Karl Fuchs (Jagenberg<br />
Maschinenbau/ Neuss) who,<br />
like his Spanish colleague on the<br />
EWC Jose Luis Navarro (Carbureibar/Abadiano)<br />
was unable to<br />
attend owing to other commitments.<br />
Also present at this official photo session<br />
in front of the conference hotel<br />
were Heike Wiemer (7th r – secretariat<br />
of EWC/group works council of<br />
Rheinmetall <strong>AG</strong>/Neuss), Joachim Stöber<br />
(6th l – management IGM metal<br />
workers’ union and responsible<br />
secretary of the European metal workers’<br />
association) and Dieter Niederste-Werbeck<br />
(l), executive board<br />
member and labor relations director<br />
of Rheinmetall <strong>AG</strong>. Niederste-Werbeck<br />
represented the employer during<br />
negotiations concerning the related<br />
group works agreement for the<br />
EWC prior to its establishment. Incidentally,<br />
Merks, Rossi, Vilaca and von<br />
der Ploeg are the members of the<br />
managing committee of the EWC.<br />
and equal to those of the parent company<br />
Rheinmetall <strong>AG</strong>.<br />
As the agencies emphasize, <strong>Kolbenschmidt</strong><br />
<strong>Pierburg</strong>’s credit worthiness<br />
is based on its sound positions in the<br />
global car component industry, its international<br />
clientele and its independence<br />
from single car manufacturers.<br />
The experts describe the know-how in<br />
fabrication as excellent and the range<br />
of products as of superior quality. The<br />
low debt ratio and the high cash-flow<br />
leave sufficient scope for further acquisitions.<br />
The <strong>Kolbenschmidt</strong> Pier-<br />
3<br />
Alliance with<br />
Atlantis Systems<br />
Bremen/Brampton. Rheinmetall<br />
subsidiary STN Atlas Elektronik<br />
GmbH of Bremen, Germany and Atlantis<br />
Systems International Inc. of<br />
Brampton, Canada have formed a<br />
strategic alliance to develop and<br />
distribute Atlantis’ family of tactical<br />
naval training systems. The Bremen-based<br />
company will have sales<br />
and marketing responsibility for the<br />
complete Maritime Tactical Training<br />
product line of Atlantis Systems.<br />
This new transatlantic pact underscores<br />
Rheinmetall DeTec <strong>AG</strong>’s desire<br />
to expand and intensify its successful<br />
role in the North American<br />
market, where the company is eager<br />
to expand its market share.<br />
As Ulrich Grillo, chairman of the<br />
board of management of STN Atlas<br />
Elektronik GmbH, points out: “The<br />
combination is ideal: Atlantis offers<br />
excellent technology that’s been<br />
tried and tested by navies worldwide,<br />
while STN Atlas Elektronik has<br />
decades of experience in developing<br />
highly advanced sensors, systems<br />
and simulators for naval applications.<br />
This alliance definitely<br />
puts us in a position to play a decisive<br />
future role in the growing market<br />
for naval training and instruction systems.”<br />
Under the terms of the alliance,<br />
STN Atlas Elektronik has sole responsibility<br />
for the sale and marketing<br />
of new systems, while the tasks<br />
of R&D and services will be divided<br />
between the companies. From the<br />
standpoint of existing customers,<br />
the alliance will have no bearing on<br />
contractually agreed service and<br />
warranty agreements.<br />
burg group is well prepared for risks<br />
resulting from possible cyclical fluctuations<br />
in car production and from<br />
increasing competition by high innovation<br />
capacity and its prudent financial<br />
management.<br />
According to Standard & Poor’s the<br />
net income should go up on medium<br />
term, as the profitability of a pump<br />
production plant acquired from Magneti<br />
Marelli earlier this year in Italy<br />
will improve and as the development<br />
in the aluminum technology division<br />
turns out to be satisfying.
EXCHANGING INFORMATION: Michael Deaver (l),<br />
deputy chief-of-staff in the White House under President Ronald<br />
Reagan (1981–1989) and now vice chairman of Edelmann<br />
Public Relations Worldwide, talking to Dipl.-Math.<br />
Klaus Eberhardt, chairman of the executive board of Rheinmetall<br />
<strong>AG</strong>. Besides talking about the presidential elections in<br />
the USA (the outcome of which was still not known at the time<br />
of Deaver’s visit), the two used the opportunity to discuss the<br />
possible impact of the election on politics and the economy<br />
in the United States of America and the transatlantic relationship.<br />
Eberhardt once again emphasized that the American<br />
market is a key market for products and systems of the<br />
Rheinmetall group and that even higher investments are<br />
planned for this region in future. Incidentally: Deaver already<br />
visited Rheinmetall as a guest speaker on the occasion of the<br />
Rheinmetall management conference in January.<br />
Changes to the<br />
management<br />
Walter R. Kaiser (54), until now management<br />
board chairman of Hirschmann<br />
Electronics GmbH & Co. KG, Neckartenzlingen,<br />
has resigned from the company<br />
as of November 30, 2000.<br />
Appointed to succeed him is Reinhard<br />
Sitzmann (52), who took on the<br />
position as of December 1, 2000. At the<br />
same time, Sitzmann has been appointed<br />
senior executive officer of<br />
Aditron <strong>AG</strong>, Düsseldorf, the parent<br />
company of Rheinmetall’s Electronics<br />
sector of which Hirschmann Electronics<br />
is a member. Sitzmann has been<br />
management board chairman of PAT<br />
GmbH, Ettlingen, a world leader in construction<br />
machinery electronics since<br />
1998.<br />
As successor to Sitzmann at PAT,<br />
Laurence Burns (49) has been appointed<br />
management board chairman.<br />
Burns has been with the company since<br />
the start of 1999.<br />
Newsline<br />
Ernst Odermatt, 52, has been appointed<br />
by the supervisory board of<br />
Rheinmetall DeTec <strong>AG</strong> to the post of<br />
deputy member of the corporation’s<br />
board of management, effective 1 January<br />
2001. Odermatt, who joined<br />
the Oerlikon Bührle group in 1978,<br />
has, as head of the Oerlikon group,<br />
been a member of Rheinmetall De-<br />
Tec <strong>AG</strong> senior management ever since<br />
the takeover of Oerlikon Contraves<br />
by Rheinmetall on 21 December<br />
1999. On the Rheinmetall DeTec <strong>AG</strong><br />
board, Odermatt will have operational<br />
responsibility for Oerlikon Contraves,<br />
the world’s leading supplier of<br />
air defence systems.<br />
As of 1 January 2001, the board of<br />
management of Rheinmetall DeTec<br />
<strong>AG</strong> will consist of Ernst-Otto Krämer<br />
as chairman; Ulrich Grillo, deputy<br />
chairman with responsibility for financial<br />
operations and controlling<br />
as well as chairman of the board of<br />
management of STN Atlas Elektronik<br />
GmbH; Mario Gabrielli, director of<br />
human resources and operations;<br />
4<br />
LARGE ORDER: Heimann Systems GmbH will equip<br />
Düsseldorf airport with fully automatic baggage inspection<br />
systems for 100% inspection of checked-in baggage by mid<br />
2001. Düsseldorf is the first airport worldwide to use a complete<br />
multilevel system from the product range of Heimann<br />
Systems and to comply with the safety requirements of the<br />
international aviation authorities: Starting 2003 all checked<br />
in baggage has to be subjected to a hundred percent<br />
inspection. For a total of € 7.2 million five systems of the first<br />
inspection level and four systems of the second level are<br />
smoothly being integrated into the existing baggage conveying<br />
system. “The new requirements of the international aviation<br />
authorities provide an important contribution to increase<br />
flight safety. Already today we provide the technology necessary<br />
for realization”, says Hans A. Linkenbach, president<br />
of Heimann Systems. Photo: Flughafen Düsseldorf GmbH<br />
Ernst Odermatt of Oerlikon Contraves<br />
<strong>AG</strong>; Detlef Moog of Rheinmetall Waffe<br />
und Munition GmbH; and Gert Winkler<br />
of Rheinmetall Landsysteme<br />
GmbH.<br />
Michael Heinzemann has been appointed<br />
deputy member of the management<br />
board of STN Atlas Elektronik<br />
GmbH (Bremen) with effect from 20<br />
September 2000. The 44 year-old industrial<br />
engineer has taken over from<br />
Gert Winkler who had joined the management<br />
board of the company in<br />
Bremen on an interim basis. Winkler<br />
has taken over as chairman of the management<br />
board of Rheinmetall Landsysteme<br />
GmbH, Kiel, a company which<br />
was founded recently. Winkler is also a<br />
member of the executive board of<br />
Rheinmetall DeTec <strong>AG</strong>.<br />
Heinzemann who was a member of<br />
the management board of Henschel<br />
Wehrtechnik GmbH (Kassel) will be<br />
responsible for the land and airborne<br />
systems and the simulation systems<br />
divisions at STN Atlas Elektronik<br />
GmbH.
Newsline<br />
From 2001 onwards: International Accounting Standards at Rheinmetall<br />
Group accounts according to IAS<br />
Düsseldorf. In October 2000, the executive<br />
board of Rheinmetall <strong>AG</strong> decided<br />
that International Accounting Standards<br />
(IAS) should be introduced for the financial<br />
statements of<br />
Rheinmetall <strong>AG</strong><br />
and its companies<br />
from the year<br />
2001 onwards. So<br />
far, the group’s<br />
accounts have been<br />
prepared in<br />
compliance with<br />
the German com-<br />
mercial code<br />
(HGB). The IAS are<br />
internationally accepted accounting<br />
procedures already used by many DAXlisted<br />
companies (for instance Bayer,<br />
Henkel, Lufthansa and RWE); numerous<br />
other corporations like Volkswagen <strong>AG</strong><br />
are in the process of converting to IAS.<br />
The International Accounting Stan-<br />
dards warrant transparent<br />
accounts that<br />
allow international<br />
comparison. Contrary<br />
to the HGB procedures<br />
which are<br />
still in use – that have<br />
a strong focus on<br />
protecting the rights<br />
of creditors (with an<br />
emphasis on the<br />
principle of caution)<br />
and are influenced<br />
by tax regulations –<br />
the IAS give special<br />
attention to the information<br />
made available<br />
to investors. The<br />
main objective is to<br />
give a true and fair<br />
Dr. Ulrich Hauck<br />
view of the financial position, financial<br />
performance and cash flows. Rheinmetall’s<br />
decision to introduce the IAS is<br />
therefore in line with the expectations of<br />
the banks and capital markets. In addition,<br />
interim financial reports of the Rheinmetall<br />
group will have a much higher informative<br />
content after the introduction<br />
of IAS, a fact that is particularly important<br />
for the presentation of Rheinmetall <strong>AG</strong><br />
on international markets.<br />
The conversion to new accounting<br />
standards affects not only external accounting<br />
issues but also internal reporting<br />
procedures, and this will apply on<br />
all group levels. Since, for legal reaso-<br />
ns, the subsidiaries will still be required<br />
to prepare their annual financial statements<br />
in compliance with the German<br />
commercial code in future, these will be<br />
prepared in form of a so-called HBII once<br />
the conversion to IAS has taken place.<br />
The consolidated financial statements<br />
of the divisions, sub-groups and<br />
group will only contain the IAS statements<br />
(HBII) of the Rheinmetall companies.<br />
The last consolidated statements<br />
conforming to the German commercial<br />
code will therefore be prepared for the<br />
year ending December 31, 2000.<br />
The conversion to IAS is being accompanied<br />
by an ambitious schedule that<br />
will make particular demands on the<br />
accounting staff throughout the group.<br />
The first statement in compliance with<br />
IAS to be prepared for the year ending<br />
December 31, 2001 will require the availability<br />
of like-for-like figures for the previous<br />
year. This therefore means that –<br />
Actions 2000/2001 Sept. Oct. Nov. Dec. Jan. Feb. March April May June July Aug. Sept. Oct. Nov. Dec.<br />
Preparation and presentation<br />
of conversion concept<br />
Project work<br />
(Project teams and<br />
steering committee)<br />
Reporting forms and<br />
accounting guidelines<br />
Training<br />
Preparation of<br />
financial statements<br />
as at 31.12.2000<br />
Review of financial<br />
statements at companies<br />
Business planning<br />
acc. to IAS<br />
once the annual financial statements in<br />
accordance with the German commercial<br />
code have been completed as at December<br />
31, 2000 – a parallel consolidated<br />
statement complying with IAS will likewise<br />
be necessary for the same period.<br />
Consequently, the members of the<br />
Rheinmetall group will also be required<br />
to transform their financial statements<br />
for 2000 in a format meeting the requirements<br />
of International Accounting<br />
Standards.<br />
Preparations for the conversion are<br />
under way. In October 2000, eight project<br />
groups under the leadership of the<br />
corporate accounting organization of<br />
5<br />
Rheinmetall <strong>AG</strong> (Dr. Ulrich Hauck, Karin<br />
Crombach) – working in close collaboration<br />
with the group’s auditors PwC Deutsche<br />
Revision (Düsseldorf) – started to<br />
prepare the new IAS accounting procedures<br />
including the related reporting<br />
packages. Significant decisions concerning<br />
the accounting and valuation regulations<br />
in accordance with the IAS are<br />
due to be reached by the steering committee<br />
(consisting of the financial management<br />
of Rheinmetall <strong>AG</strong> and its subgroups)<br />
by the end of the year. Certain<br />
modifications of the existing data processing<br />
systems will be necessary in order<br />
to implement the IAS.<br />
The success of the conversion process<br />
will depend very largely on the<br />
commitment of the staff responsible for<br />
accounting at Rheinmetall. They will<br />
now be given the chance to have an active<br />
part in the fundamental renewal<br />
and modernization of accounting prac-<br />
Holding<br />
Groups<br />
Individual companies<br />
The conversion of accounts to International Accounting Standards (IAS) is<br />
based on an ambitious schedule which will make utmost demands on the<br />
accounting personnel throughout the Rheinmetall group.<br />
tices. It will also be<br />
important to give<br />
personnel working in<br />
accounting and controlling<br />
departments<br />
the necessary training.<br />
Once the annual<br />
financial statements<br />
have been<br />
prepared for the fiscal<br />
2000, these persons<br />
will all participate<br />
in a comprehensive<br />
training program<br />
that is due to<br />
be launched in the<br />
second half of March<br />
2001, initially with<br />
the involvement of<br />
personnel belonging<br />
to the accounting departments of the<br />
Rheinmetall companies (the milestones<br />
for the project are shown in the diagram<br />
on this page).<br />
Contacts for the IAS project are firstly<br />
the above-mentioned project team at<br />
Rheinmetall <strong>AG</strong> (Hauck/Crombach);<br />
competent experts in the groups are Ulrike<br />
Renner (responsible for Automotive<br />
sector), Roland Müsse (Electronics) and<br />
Sven Gronemeyer (Defence). Responsable<br />
at Jagenberg <strong>AG</strong> is Rolf Jensen.<br />
Dr. Ulrich Hauck*<br />
*Dr. Ulrich Hauck (36) is accounting manager at<br />
Rheinmetall <strong>AG</strong> and, in this capacity, is responsible<br />
for the group-wide conversion of accounting<br />
principles IAS.
Pu bl i cbid to ta ke<br />
over Jage n b e rg<br />
D ü ss e ld o rf / N e uss . On De ce m b e r<br />
14, 2000, the officia l term for acce pt<br />
i ng the vol un ta ry pu bl i c bid announced<br />
by R h e i n m e ta l <strong>AG</strong> to ta ke over all<br />
p re fe r red sto ck o u t sta n d i ng of J a ge nb<br />
e rg <strong>AG</strong> (ISIN DE 000 621 2038) co mm<br />
e n ced. Rheinmeta ll <strong>AG</strong> is o f fe r i ng €<br />
2 .30 for ea ch sha re of J a ge n b e rg prefe<br />
r red sto ck, hence aro und 65%<br />
a b ove the cl osi ng price quoted on the<br />
day p re ce d i ng the pu bl i cbid announ-<br />
N e wsl i n e<br />
ce m e n t. The period for acce p t i ng this<br />
bid for Jage n b e rg pre fe r red sto ck will<br />
ex p i re at the cl ose of J a n u a ry 2 2 ,<br />
2 0 0 1 .<br />
A t p resent, Rheinmeta ll ow ns 8 6 %<br />
o f J a ge n b e rg <strong>AG</strong>’s n o nl isted co m m o n ,<br />
and 3% of the pre fe r red, sto ck. The cap<br />
i ta lsto ck is d i vided into 20, 0 0 0, 0 0 0<br />
no-par shares, viz. 12,000,000 of<br />
common and 8,000,000 of n o nvo t i ng<br />
preferred stock. Rheinmetall consid<br />
e rs i t sbid a to ken of i t s pa rt i cular resp<br />
o nsi bil i t y to the pre fe r red sto ckh old<br />
e rs o fJ a ge n b e rg <strong>AG</strong> and, by payi ng a<br />
share price well above the pre-an-<br />
“On fast lane” wi t h<br />
i n teg ra ted ante n nas<br />
N e cka rte nzl i nge n . Richard Hirschmann<br />
GmbH & Co. (Necka rte nzl i nge n )<br />
has booked orders from Daimler-<br />
C h rysle r, Audi and V Wfor the deve l o pm<br />
e n tand production of i n teg ra ted ante<br />
n na systems. T h ese syste m s a re intended<br />
for seven diffe re n tve h i cle typ<br />
es, incl u d i ng the su ccessor model to<br />
the pres e n tE- class o f Me rce d es Be nz ,<br />
the new Audi A4 and the so-called<br />
“ Super” Passa to fV W. The ord e rs ha ve<br />
6<br />
n o un ce m e n tcl osi ng price, is o f fe r i ng<br />
them the opp o rtun i t yto wi t h d raw fro m<br />
J a ge n b e rg <strong>AG</strong>, whose exe cu t i ve boa rd<br />
has welcomed Rheinmetall’s voluntary<br />
public takeover bid and recomm<br />
e n ds i t s sto ckh old e rs to acce p ti t.<br />
R h e i n m e ta ll st ill i n te n ds to divest<br />
J a ge n b e rg, pre fe re n ce being given to<br />
a solution where Jage n b e rg as a<br />
w h ole is s old to a prosp e c t i ve investo<br />
r. Rheinmeta ll has d e cided in<br />
fa vor of a vol un ta ry ta ke over bid si n ce<br />
p rosp e c t i ve investo rs will ma i nl y b e<br />
i n te rested in acq u i r i ng all o f J a ge nb<br />
e rg <strong>AG</strong>’s sto ck .<br />
New co n t ra c t– inspection ca pa ci t yd o u ble d<br />
Eu ro tun n e lo p ts for HCV s yste m s<br />
Fol ksto n e / Wi esbaden. H e i mann Systems,<br />
the wo r ld ’ slead i ng ma n u fa c turer<br />
and su pplier of X- ray i nspection systems,<br />
has b o o ked a fu rther order fro m<br />
Eu ro tun n e l pl c. (Grea t B r i tain). In placi<br />
ng this o rd e r, the British opera tor of<br />
Eu ro tun n e ll o ca ted at Fol kstone in Ke n t<br />
a i m s to increase the ca rgo insp e c t i o n<br />
ca pa ci t yin order to secu re globa lca rgo<br />
t ra f f i ct h rough the Cha n n e lTun n e l. T h e<br />
co n t ra c tco m p r is es the delive ry and insta<br />
llation of a new sta t i o na ry X- ray i nspection<br />
equipment as we ll as t h e<br />
m o d e r n i zation of the exist i ng Eu rosca n<br />
s ystem. Both syste m s a re pa rt o f H e imann<br />
Systems’ Heimann Ca rgo Visi o n<br />
(HCV) ra nge of p roducts, deve l o p e d<br />
sp e ci f i ca ll yfor X- ray s e cu r i t yi nsp e c t i o n<br />
o fl oaded trucks and co n ta i n e rs .<br />
These inspection systems produce<br />
rad i oscopic, high-definition ima ges o f<br />
ve h i cles and loaded go o ds, which are<br />
then ana l y zed by t rained secu r i t yp e rs<br />
o n n e l. As a result, illega lor da nge ro us<br />
go o ds and su bsta n ces su ch as ex pl osives,<br />
even hidden in a sea led co m pa rtm<br />
e n tor in the drive r ’ sca bin, can be dete<br />
c ted as i f the frame of the truck we re<br />
transparent. An inspection doe s not<br />
ta ke more than 10 minutes a t the most<br />
and avo i ds ma n u a ls ea rch of ve h i cles .<br />
T h is new co n t ra c t re f le c t s the co mm<br />
e rcia l su ccess o f the inspection syste<br />
m s for the Eu ro tunnel, with a cu rre<br />
n t f l ow of 4,000 to 5,000 trucks<br />
e ve ry day. It is a lso the resul to f a su ccess<br />
ful co o p e ration between Eu ro tunn<br />
e l and Heimann Syste m s a ro und the<br />
co n ception of a tu r n ke y i nsta lla t i o n ,<br />
p e rfe c t l y su i ted to the sp e ci f i cte ch n ica<br />
ln e e ds o f the custo m e r.<br />
The new Heimann Ca rgo Vision stat<br />
i o na ry e q u i p m e n twill o f fer the most<br />
re ce n t te ch n ol o g i ca l fea tu res d e veloped<br />
by the co m pa ny, for insta n ce an<br />
i n creased inspection ca pa ci t y o f 3 0<br />
ve h i cles per hour.<br />
The modernization of the cu r re n tEuroscan<br />
system, in operation si n ce<br />
1993, will i n clude new visu a l i za t i o n<br />
and ima ge pro cessi ng fea tu res a n d<br />
will a ll ow for a si g n i f i ca n t e n ha n cem<br />
e n to f va r i o us co m p o n e n t so f the system,<br />
e.g. co nve yi ng of ve h i cles, qualit<br />
y and pre cision of X- ray i ma g i ng.<br />
T h ese HCV s ystems, which will b e<br />
o p e ra t i o na la t the British entra n ce of<br />
the Cha n n e l Tunnel, will d o u ble the<br />
cu r re n t i nspection ca pa ci t y. Fu rt h e rm<br />
o re, both syste m s will be opera t i ona<br />
l on a 24 hour basis. De l i ve ry o ft h e<br />
new system is sch e d uled for ea r l y<br />
2 0 02, and the upg rade of the cu r re n t<br />
Eu roscan system will be co m ple ted by<br />
the end of 2 0 02. The pro je c t will b e<br />
ha n d led in su ch a way t ha t ca rgo inspection<br />
fa cil i t i es a t Eu ro tun n e l will b e<br />
o p e ra t i o na land effici e n ta ta ll t i m es .<br />
Eq u i p m e n t f rom the Wi esbad e n -<br />
based sp e cia l ist is a l read y in servi ce at<br />
n u m e ro us ke y co m m e rcia lt ra f f i cp o i n t s<br />
in Eu rope and wo r ld wide. 13 insp e c t i o n<br />
s yste m s ha ve been ta ken into operation<br />
at va r i o us s ea p o rts, airport s a n d<br />
b o rder loca t i o ns si n ce 1991. The la test<br />
i nsta lla t i o ns a re loca ted at the Va a l imaa<br />
border crossi ng (Finland), at t h e<br />
Po rt o fTe ma in Gha na, Ro t te rdam in the<br />
N e t h e r la n ds, Su ba raya and Jaka rta in<br />
I n d o n esia. T h is yea r, Heimann Syste m s<br />
has been awa rded new co n t ra c t swi t h<br />
the Mexi can, Japa n ese and Britis h<br />
Customs. By the end of 2001, Heima n n<br />
Syste m s will ha ve delive red more tha n<br />
21 syste m so f the HCV fa m il yso tha tt h e<br />
co m pa ny is n ow the leader in the co ntainer<br />
inspection system ma r ke t.<br />
an ove ra l value of a pp rox. 15 mill i o n<br />
per yea r. The diffe re n tm o d e ls will b e<br />
produced over a period of several<br />
yea rs.<br />
The possi ble us es o f i n teg ra ted ante<br />
n na syste m sra nge from the re ce p t ion<br />
of radio and TV b road cast s to mobile<br />
radio co m m un i ca t i o ns and sa te ll<br />
i te na vi gation through to co n t rol o f<br />
the ce n t ra ll o cki ng or sta n d by h ea t i ng<br />
system. Currently, only two compan<br />
i es in the wo r ld ha ve the te ch n i ca l<br />
k n ow - h ow for su ch ante n na syste m s :<br />
the Delphi su bsi d ia ry Fu ba (Bad S a l zd<br />
e t fu rth) and Hirsch ma n n .
Newsline<br />
Avior laser projection system from STN Atlas Elektronik GmbH<br />
High quality in visual projection<br />
Orlando/Bremen. World premiere:<br />
at the end of November 2000, STN Atlas<br />
Elektronik GmbH (Bremen) gave<br />
its first presentation of the new laser<br />
projection system Avior to the international<br />
public at the I/ITSEC in Orlando,<br />
Florida. The excellent response to the<br />
system is reflected by positive sales<br />
figures. Avior is distinguished by unlimited<br />
focus depth, a high variety in<br />
colors and brightness, absolute color<br />
stability and constant color convergence.<br />
With Lufthansa and the German<br />
Air Force, the reference list already<br />
includes two prominent customers<br />
from the civil and military sectors.<br />
Being influenced<br />
by our visual perceptions<br />
and impressions,<br />
we need optical<br />
information. On closer<br />
consideration,<br />
we find that modern<br />
visual systems have<br />
become an indispensable<br />
means of<br />
realistically reproducing<br />
our environment<br />
– particularly<br />
when it comes to<br />
meeting the increasingly<br />
stringent flight<br />
training requirements<br />
in the field of<br />
flight simulation.<br />
With its new and<br />
powerful Avior laser<br />
projection system,<br />
STN Atlas Elektronik<br />
GmbH can now offer<br />
unrivaled qualities in visual projection:<br />
unlimited focus depth, a high variety<br />
in colors and brightness, absolute<br />
color stability and constant color<br />
convergence. By virtue of this new<br />
technology, simulators can now be<br />
provided with visual systems by far superior<br />
to any projection systems available<br />
in the past, with a degree of realism<br />
that is absolutely unique.<br />
The electronics specialist from Bremen<br />
has already booked its first orders<br />
from customers planning to use<br />
Avior for flight simulation. Lufthansa<br />
Flight Training GmbH will use the new<br />
laser projection system to upgrade its<br />
existing flight training simulators. As<br />
part of the so-called daylight cockpit,<br />
simulator projection is to be improved<br />
to suit the training requirements for<br />
highly qualified flight crews. Avior is<br />
capable of artificially creating daylight<br />
conditions, something that was not<br />
possible in the past. In addition, calligraphic<br />
lights (for example, runway<br />
lights) can be projected with a quality<br />
that is astonishingly good. The development<br />
of the daylight cockpit has<br />
been promoted by the senate of the city<br />
of Bremen.<br />
Another customer due to receive Avior<br />
for flight simulation purposes is the<br />
German Air Force which intends to<br />
equip eight new full-mission simulators<br />
for Tornado combat aircraft with<br />
Flight simulation: a dome with laser projection heads and four target display<br />
projectors gives an extremely realistic visual impression. This, in turn, helps to<br />
ensure that highly qualified flight crews – like those flying the Tornado combat<br />
aircraft of the German Air Force – will be given the best possible training.<br />
the new laser projection technology.<br />
The German contracting authorities<br />
BWB in Koblenz have chosen STN Atlas<br />
Elektronik together with CAE Elektronik<br />
GmbH (Stolberg) to deliver the<br />
simulators for the Air Force.<br />
The simulators with a dome projection<br />
system (300°x120° field-of-view)<br />
will each incorporate a 13-channel laser<br />
display system of the type Avior.<br />
As a digital system, the fail-safety of<br />
Avior is excellent so that maintenance<br />
requirements are minimal.<br />
One of the many advantages will be<br />
particularly useful for the Tornado simulator:<br />
the system is fairly compact<br />
(the projection head weighing about<br />
eight kilograms) with small installati-<br />
7<br />
on dimensions due to the separation<br />
of projection head and laser source.<br />
Thanks to this, it is possible to build<br />
much lighter and more compact Full<br />
Flight Simulators (FFS) with e.g. an electrical<br />
motion system, in other<br />
words, without a hydraulic compartment.<br />
The first simulator for the Tornado<br />
to be equipped with the Avior technology<br />
will be installed in Holloman,<br />
USA.<br />
Thanks to numerous hitherto unequalled<br />
qualities, Avior will be approved<br />
for so-called D-level simulators;<br />
these are certified and approved flight<br />
simulators meeting the requirements<br />
of the Joint Aviation<br />
Authorities (JAA) and<br />
Federal Aviation Authority<br />
(FAA).<br />
Avior will also resolve<br />
one of the problems<br />
often encountered<br />
with simulators:<br />
the weight of<br />
the projectors. Professional<br />
projectors<br />
– being the bigger<br />
variant of the video<br />
beamers increasingly<br />
replacing conventional<br />
televisions<br />
in many households<br />
– capable of producing<br />
images of up to<br />
several square meters<br />
in size, are very<br />
heavy and therefore<br />
difficult to integrate<br />
in simulators mounted<br />
on a motion system. With Avior,<br />
only the very light projection head has<br />
to be integrated in the actual simulator.<br />
The laser source can be located<br />
outside the simulator. Moving images<br />
are transmitted by fiber-glass cable.<br />
Moreover, it will be possible to operate<br />
several projection heads from only<br />
one laser source in future.<br />
STN Atlas Elektronik is using the<br />
new system for flight simulation purposes.<br />
The mentioned advantages<br />
over conventional systems are particularly<br />
beneficial for Full Flight Simulators<br />
where the excellent center-ofgravity<br />
improvement (due to the low<br />
weight) will allow far lighter and more<br />
compact FFS with electrical motion<br />
systems.
Newsline<br />
Mine clearance vehicle at the border between North and South Korea<br />
Rhino performs a historic mission<br />
Hamburg/Paju/Kiel. On 26 September<br />
2000 a Rhino mine clearance system<br />
from Rheinmetall Landsysteme<br />
GmbH (MaK/Kiel) and a Minebreaker<br />
2000 from Flensburger Fahrzeugbau<br />
Gesellschaft mbH were loaded onto an<br />
Antonov at Hamburg airport, from<br />
where they were flown to Korea. The<br />
Republic of Korea had purchased both<br />
of these vehicles at short notice for mine<br />
clearance operations to be carried<br />
Being used on the border between<br />
North and South Korea: the Rhino mine<br />
clearance vehicle from Rheinmetall.<br />
DMI cooperates<br />
with STN Atlas<br />
Bremen/Lyngby. The Danish Maritime<br />
Institute (DMI) based in Lyngby<br />
(Denmark) and STN Atlas Elektronik<br />
GmbH (Bremen) will jointly market<br />
their extensive range of advanced<br />
products in future. The joint portfolio<br />
ranges from low-end computer based<br />
training (CBT) to high-end full mission<br />
simulators in the areas of both bridge<br />
and engine room simulation as well<br />
as the associated courseware. Major<br />
benefits for the customers are firstclass<br />
integrated training concepts,<br />
combined with the necessary nautical<br />
competence, and a flexible and<br />
strong sales network.<br />
In September 2000, the Danish Maritime<br />
Institute (DMI) and STN Atlas<br />
Elektronik GmbH officially signed a<br />
cooperation agreement with the aim<br />
out in the border region between<br />
North and South Korea. The Russian<br />
Antonov aircraft flew the two vehicles<br />
weighing a total of more than one hundred<br />
tons via Kiev to Seoul from where<br />
they were then transported on a flatbed<br />
trailer 40 km northward to the border<br />
town of Paju.<br />
Before traffic connections between<br />
the North and South can be restored to<br />
normal conditions, an area of 660,000<br />
square meters with a suspected<br />
100,000 mines will have to be demined.<br />
In the light of the rapprochement<br />
between these two Korean states, it is<br />
planned to complete a four-lane highway<br />
and restore the interrupted railway<br />
link between the two countries. The<br />
Korean government has set up an ambitious<br />
schedule for these two projects,<br />
namely to have the work on the<br />
highway and railway tracks completed<br />
by September next year.<br />
Yet before construction work can actually<br />
get started, the entire region will<br />
have to be cleared of mines. The Korean<br />
army has assigned more than 2,800<br />
soldiers from eight different battalions<br />
to this task and has complemented existing<br />
equipment with modern tools<br />
and machines purchased from abroad.<br />
The Minebreaker 2000 and Rhino –<br />
of a close partnership<br />
in the<br />
field of nautical<br />
simulation. The<br />
agreement was<br />
signed by Arne<br />
Hasle Nielsen,<br />
managing director<br />
of DMI<br />
and Ulrich Sasse,<br />
general manager<br />
of the<br />
STN Atlas simulation<br />
systems<br />
division. The<br />
agreement is the result of a strategic<br />
investigation undertaken jointly by<br />
the two organizations during the last<br />
months.<br />
DMI is an internationally recognized<br />
developer and supplier of advanced<br />
maritime training and education systems.<br />
In addition, the DMI provides<br />
PC-based ship handling simulators as<br />
8<br />
both of which have demonstrated<br />
their outstanding capabilities in the<br />
course of various international demining<br />
operations were literally purchased<br />
“on-the-spot”. The tight schedule<br />
of the Koreans did not leave scope for<br />
the normal purchasing routine where<br />
production is generally not started before<br />
the order is in hand. Consequently,<br />
the Korean’s prime focus was on<br />
proven mine clearance systems meeting<br />
stringent safety requirements,<br />
and on the immediate availability of<br />
the equipment. Both of the systems<br />
fulfilled these requirements.<br />
Specialists from the two manufacturers<br />
have accompanied the two vehicles<br />
to Korea in order to give Korean<br />
personnel a thorough and quick in-situ<br />
familiarization with the systems.<br />
The companies from Kiel and Flensburg<br />
will also be providing the technical<br />
service for the equipment in order<br />
to repair any damage resulting from<br />
wear and tear without loss of time.<br />
Korean authorities have pointed out<br />
that a mine clearing operation of this<br />
magnitude in such a short time is quite<br />
unique, particularly as the density of<br />
mines in the border region between<br />
North and South Korea is far greater<br />
than, for instance, in Bosnia or Kroatia.<br />
Cooperating: Arne Hasle Nielsen (r) and Ulrich Sasse<br />
well as part-task ship bridge simulators<br />
and training courseware dedicated<br />
to nautical applications including<br />
state-of-the-art mathematical models.<br />
STN Atlas Elektronik is one of<br />
the leading training system suppliers<br />
including simulators and training<br />
equipment for nautical and naval training<br />
purposes.
Newsline<br />
Rheinmetall Landsysteme GmbH founded<br />
Concentrating forces<br />
for armored vehicles<br />
Ratingen. Pointing the way forward,<br />
Rheinmetall DeTec <strong>AG</strong> of Ratingen has<br />
taken a further step in consolidating<br />
Germany’s armored vehicle industry.<br />
Effective 1 January 2000, Rheinmetall<br />
DeTec has consolidated its hitherto separately<br />
operating subsidiaries Henschel<br />
Wehrtechnik of Kassel, KUKA<br />
Wehrtechnik GmbH of Augsburg and<br />
The wheel-mounted armored vehicle<br />
Luchs, also used by the German SFOR<br />
troops in Bosnia, is the well-known<br />
product of Henschel which is now part<br />
of Rheinmetall Landsysteme GmbH.<br />
MaK System Gesellschaft mbH of Kiel<br />
into a single corporation, Rheinmetall<br />
Landsysteme GmbH. The move brings<br />
together the expertise and long-standing<br />
experience of these companies. A<br />
leading supplier of ground forces<br />
equipment, Rheinmetall DeTec has a<br />
workforce of nearly 10,000 and annual<br />
sales of approximately € 1.6 billion.<br />
With about 1,400<br />
employees, RheinmetallLandsysteme<br />
GmbH is a<br />
world-class supplier<br />
of highly advanced<br />
wheeled<br />
and tracked armored<br />
vehicle systems.<br />
Gert Winkler<br />
has been appointed<br />
chairman<br />
of the board of management,<br />
and will<br />
also have special<br />
responsibility for<br />
engineering. Also<br />
appointed to the<br />
board are Klaus<br />
Sander, sales, and<br />
Dr. Peter Merten,<br />
finance and controlling.<br />
Rheinmetall DeTec <strong>AG</strong> is thus systematically<br />
pursuing its strategy of adjusting<br />
to the changing requirements of<br />
the market. As early as 1990, the company<br />
embarked on a policy of active<br />
portfolio management, the first German<br />
defence contractor to do so. As a result,<br />
Rheinmetall DeTec is capable today of<br />
producing highly competitive products,<br />
even under difficult market conditions.<br />
Thanks to this assertive strategy, Rheinmetall<br />
DeTec has developed into a viable<br />
single-source supplier of weapons<br />
and ammunition, wheeled and tracked<br />
armored vehicles, and vetronics (vehicle<br />
electronics). On this basis, the<br />
company has emerged as one of Europe’s<br />
leading suppliers of high-tech ground<br />
forces equipment.<br />
The companies Henschel and KUKA<br />
were both acquired at the end of 1999.<br />
These new assets, along with MaK System<br />
Gesellschaft, significantly widened<br />
the array of vehicle systems offered<br />
by Rheinmetall DeTec. Now that these<br />
companies have been combined to<br />
form Rheinmetall Landsysteme GmbH,<br />
further synergy effects are expected.<br />
The newly launched company is<br />
squarely oriented to the needs of the<br />
customer. The location concept has<br />
been devised to make optimum use of<br />
During a visit to Henschel in Kassel, the German Minister of Defence Rudolf<br />
Scharping (r) and the chairman of the executive board of Rheinmetall DeTec <strong>AG</strong>,<br />
Dr. Ernst-Otto Krämer, unveiled a panel displaying the name of the recently<br />
launched Rheinmetall Landsysteme GmbH.<br />
9<br />
The air-transportable, amored vehicle<br />
Wiesel 1 built by MaK System Gesellschaft<br />
mbH (now part of Rheinmetall<br />
Landsysteme GmbH) can be used as a<br />
crew transport, reconnaissance and<br />
ambulance vehicle.<br />
resources, while simultaneously maintaining<br />
existing knowledge and expertise.<br />
To this end, administration and<br />
sales have been centralized in Kiel,<br />
while the production and maintenance<br />
units have been consolidated at the<br />
Kassel and Unterlüß locations.<br />
In order to safeguard Rheinmetall<br />
Landsysteme’s technological edge, development<br />
and engineering of the<br />
company’s high-tech products will take<br />
place at the following locations, each<br />
with a specifically defined mission:<br />
★ Kiel: Combat support systems, demining<br />
equipment and tracked vehicle<br />
technology<br />
★ Kassel: Command and reconnaissance<br />
systems and wheeled vehicle<br />
technology<br />
★ Unterlüß/Augsburg: Weapon platform<br />
systems, especially automatic<br />
cannon turrets (as well as ammunition<br />
flow components in Augsburg).<br />
The new company’s<br />
sales, R&D,<br />
production and<br />
administrative<br />
operations are currently<br />
being reorganized<br />
in accordance<br />
with a stringent<br />
timetable.<br />
Successful implementation<br />
of these<br />
restructuring measures,<br />
combined<br />
with greater concentration<br />
on core<br />
competencies, will<br />
ensure that Rheinmetall<br />
continues<br />
to be a leading<br />
supplier of systems<br />
and equipment<br />
both at home<br />
and abroad.
Major order<br />
from Mexico<br />
Paris/Wiesbaden. Heimann Systems,<br />
the world’s leading manufacturer<br />
and supplier of X-ray security<br />
inspection systems, has been<br />
awarded a major order by the Mexican<br />
customs (Administracion General<br />
de Aduanas de Mexico) The<br />
order worth more than 3.7 million<br />
US dollars comprises the delivery<br />
of an innovative HCV-Mobile<br />
equipment to be used by the Mexican<br />
customs to fight against contraband<br />
and traffic of illegal substances.<br />
Heimann Systems is the<br />
first company to equip the Mexican<br />
customs with a cargo inspection<br />
system for manifest verification.<br />
In an effort to modernize their<br />
entire operations, the Mexican customs<br />
had undertaken a comprehensive<br />
review of all potential suppliers<br />
of mobile security inspection<br />
equipment. They have selected<br />
Heimann Systems’ HCV-Mobile because<br />
of the technological advancement<br />
of this equipment.<br />
The HCV-Mobile system, which<br />
will be put into service by the end<br />
of this year, will be operated by fully-trained<br />
Mexican customs staff. It<br />
will be operated at the port of Veracruz<br />
which is the main Mexican<br />
seaport registering the highest levels<br />
of cargo movements.<br />
The HCV-Mobile system consists<br />
of a fully integrated transport vehicle<br />
and a scanning boom to provide<br />
an autonomous system,<br />
which does not require a fixed installation<br />
or any external services.<br />
After driving to its designated location<br />
the system is ready to begin<br />
full operation in less than 30 minutes<br />
and once set up, the HCV-Mobile<br />
can scan a loaded truck in less<br />
than 2 minutes or approximately<br />
25 trucks per hour (load, wheels,<br />
tank, chassis and cabin). Full mobility<br />
allows the unit to be operated<br />
on almost any level surface. The system’s<br />
high penetration capability<br />
combined with its unique sensor<br />
array enables the HCV-Mobile to<br />
scan fully-loaded containers and to<br />
give a high resolution X-ray image,<br />
comparable to that obtained from<br />
Heimann Systems larger and more<br />
powerful stationary systems.<br />
Newsline<br />
FIRST HAND INFORMATION for General Eric Shinseki (5th r), Chief of Staff<br />
of the US Army during his recent visit to the AUSA exhibition stand of the Rheinmetall<br />
DeTec <strong>AG</strong> group in Washington. Shinseki who also visited the European<br />
center of competence for army systems in Unterlüß these days, was given a<br />
thorough briefing on the 105 mm smoothbore weapon system, the related family<br />
of munitions and the program of armored vehicles. Representatives at the exhibition<br />
included (from l to r) Eckard Lomann (Rheinmetall Landsysteme/RLS), Klaus-<br />
Dieter Seip (Rheinmetall W & M), Alois K. Osterwalder (Oelikon Contraves), Volney<br />
F. Warner (US representative of Rheintech Inc./Washington), Eric Prummenbaum,<br />
Manfred Eggers, Dr. Josef Jörg and Dr. Bernhard Halstrup (all RLS) and Allen Buckley<br />
(Oerlikon Contraves). As the most important exhibition for army systems in the<br />
USA, the AUSA 2000 (Association United States Army) welcomed about 27,000 visitors;<br />
there were 600 exhibitors, of which ten percent were from abroad.<br />
A hidden<br />
champion<br />
Wiesbaden/Kassel. Heimann Systems<br />
GmbH is one of the five winners<br />
of the campaign “Hesse, here is the future”.<br />
More than 100 Hessian firms<br />
had entered the competition to win<br />
the Hidden Champions award. Ultimately,<br />
Heimann Systems secured a second<br />
place together with three other<br />
companies. “Hidden Champions” is<br />
an initiative launched jointly by the<br />
state of Hesse and the association of<br />
Hessian employers. The award is bestowed<br />
on companies that play a leading<br />
role in specialized fields of the<br />
market and that are distinguished by<br />
globalization, innovative power and<br />
entrepreneurial spirit. The prize-giving<br />
ceremony was attended by the Hessian<br />
minister of trade and industry, Dieter<br />
Posch, and the vice president of the<br />
association of Hessian employers,<br />
Paul Coenen, representing the initiators<br />
of the event. In his speech Hans A.<br />
Linkenbach, president of Heimann Systems,<br />
remarked that the “company’s<br />
workforce is constantly committed to<br />
developing innovative products and to<br />
finding customer-oriented solutions.“<br />
10<br />
Order from<br />
Switzerland<br />
Bern/Bremen. Rheinmetall subsidiary<br />
STN Atlas Elektronik GmbH of Bremen<br />
has received a major order from<br />
Switzerland. The company will equip<br />
120 armored vehicles of the Swiss<br />
Army with observation and reconnaissance<br />
equipment. The contract with<br />
Gruppe Rüstung has now been signed<br />
in Bern. STN Atlas Elektronik is a member<br />
of Rheinmetall DeTec <strong>AG</strong>, Ratingen,<br />
responsible for defence activities<br />
of the Rheinmetall Group.<br />
The Swiss Army will receive 120 armored<br />
vehicles for gunnery commanders<br />
within the next years. The related<br />
orders were placed with three companies,<br />
among them STN Atlas Elektronik<br />
as supplier for the observation equipment<br />
with thermal imager, CCD camera<br />
and laser range finder. In addition to<br />
the control unit and the test equipment<br />
for field and depot maintenance,<br />
the scope of delivery also comprises<br />
spare parts packages. Furthermore,<br />
the order includes training courses<br />
and systems. Four systems will be delivered<br />
within a preproduction batch in<br />
the fall of 2001.
Certification sets<br />
further standards<br />
Nova Odessa. Successful project<br />
conclusion with a model character:<br />
some weeks ago KS Pistões Ltda., a<br />
Brazilian subsidiary of KS <strong>Kolbenschmidt</strong><br />
GmbH, was the first <strong>Kolbenschmidt</strong><br />
<strong>Pierburg</strong> piston manufacturer<br />
outside Germany to be certified in accordance<br />
with ISO 14001 (environment<br />
management system) and BS<br />
8800 (occupational health and safety<br />
management system). The subsidiary<br />
with its headquarters in Nova Odessa<br />
(Sao Paulo) whose 1250 employees<br />
will produce about 14 million pistons<br />
this year (a new record!) has again set<br />
new standards that should also have<br />
a positive effect on business in future.<br />
Commenting on the certification,<br />
Americo Rajczy, the commercial director<br />
of KS Pistões Ltda., pointed out<br />
Newsline<br />
PAT delivers dynamic vehicle weighing systems – checkpoints in Germany<br />
Fight against overloaded vehicles<br />
Ettlingen. Determined fight against<br />
overloaded vehicles: the traffic telematics<br />
division of the PAT group has<br />
booked two major orders for vehicle<br />
weighing systems to be provided at<br />
freeways in Germany (PAT GmbH, Ettlingen)<br />
and the Netherlands (PAT Krüger<br />
bv. Holland). These orders worth<br />
more than € 3.5 million were won largely<br />
on grounds of PAT’s extensive experience<br />
with dynamic weighing systems<br />
and system integration and the<br />
Part of PAT’s vehicle weighing systems:<br />
the portable PC with a display of values<br />
exceeding allowable thresholds to<br />
allow efficient police operations.<br />
group’s high competence regarding<br />
the practical implementation of digital<br />
video systems.<br />
According to Laurie Burns, chairman<br />
of the management board at PAT, the<br />
“new strategy of integrating additional<br />
sensors that complement our own<br />
range of products both technologically<br />
and in terms of application potential<br />
is bearing first fruits.” In the words<br />
of Dr. Dieter Cichon, in charge of product<br />
management and development:<br />
“The consistent development and application<br />
of digital video systems has<br />
provided a sound basis for various<br />
video-based traffic monitoring applications.<br />
These capabilities will give us<br />
the competitive edge in future acquisition<br />
projects.”<br />
A measuring point network with dynamic<br />
weighing systems for high<br />
speeds is being established throughout<br />
Germany. The first tender comprises<br />
13 measuring points on German<br />
freeways in Bavaria, Brandenburg,<br />
Mecklenburg, Western-Pomerania,<br />
North Rhine-Westphalia and Saxony-<br />
Anhalt. All vehicles on every lane of<br />
the freeway will be detected and classified<br />
automatically at the measuring<br />
points.<br />
that the “company is now well-equipped<br />
for the future, especially as we<br />
have already fulfilled requirements<br />
which will be a precondition for securing<br />
new orders from 2001/2002 onwards.<br />
The certification has a model<br />
character, especially in Brazil, and it<br />
will also improve the reputation of the<br />
German industry in the country.”<br />
The pistons manufactured on advanced<br />
production facilities in Nova<br />
Odessa are delivered to all continents:<br />
about 70 percent of parts produced<br />
are shipped abroad (e.g. to<br />
Europe, the USA, Mexico or Australia).<br />
And the quality is excellent, as<br />
evidenced by the high sales figures<br />
generated. In addition to the 1999<br />
Supplier of the Year distinction recently<br />
awarded by General Motors,<br />
KS Pistões has also received quality<br />
awards from VW do Brasil and Maxion<br />
International this year, both of<br />
which have a long tradition in busin-<br />
11<br />
As a minimum, the right-hand lane<br />
will have weighing sensors integrated<br />
in the surface of the roadway. Cichon:<br />
“Freeway traffic will not be influenced<br />
by the measurement sensors. Our HS-<br />
WIM system (High Speed Weighing In-<br />
Motion) determines the axle loads of<br />
trucks at speeds of up to 120 km/h,<br />
allowing for certain tolerances.” Based<br />
on the individual axle load values,<br />
the system then determines the<br />
total weight of multiple axle groups<br />
and the actual weight of the vehicle.<br />
There are limit values for the maximum<br />
allowable axle load and the total<br />
weight for every class of vehicle. The<br />
system can produce an alarm signal<br />
as soon as a limit value is exceeded.<br />
Seven of the 13 measuring points in<br />
Germany will additionally be equipped<br />
with a digital video system that<br />
will help police to identify overloaded<br />
vehicles and to filter such vehicles out<br />
of the moving traffic. The digital video<br />
system consists of a color camera, a<br />
data transmission link and a portable<br />
PC with digital image processing. An<br />
image of the overloaded vehicle and<br />
the overload percentage data are sent<br />
to the police officer at the point where<br />
the vehicle is to be filtered out of the<br />
moving traffic.<br />
ess with KS Pistões. Maxion (a joint<br />
venture with International Inc./USA)<br />
is a major diesel engine manufacturer<br />
located in Porto Alegre in the<br />
south of Brazil.
Newsline<br />
Interview with Mario Gabrielli of Rheinmetall DeTec<br />
Conflicts can only be resolved with a strong partner<br />
Ratingen/Berlin. The recommendations<br />
of the independent Weizsäcker commission<br />
(set up by the German government) on<br />
the reform of the German armed forces<br />
were announced some time ago as were<br />
the proposals of the German minister of<br />
defence, Rudolf Scharping, on the reorientation<br />
of the German armed forces which<br />
– as Germany’s biggest employer – (currently)<br />
have around 320,000 soldiers and<br />
some 130,000 civilian employees. Experts<br />
are unanimous in their opinion that one of<br />
the prime aims of the reform will have to<br />
be the (re-)orientation of military structuresto<br />
the tasksofcrisismanagementand<br />
crisis prevention. Any issues concerning<br />
the future of the services naturally also affect<br />
the future of the defence industry in<br />
Germany. To discuss the impact on the industry,<br />
Newsline spoke to Mario Gabrielli<br />
(57), a member of the executive board of<br />
Rheinmetall DeTec <strong>AG</strong> – under whose umbrella<br />
a European center of competence<br />
for ground forces has been established<br />
within a matter of only a few years. The latest<br />
example of the integration of capabilities<br />
in the military sector is the recent<br />
establishment of Rheinmetall Landsysteme<br />
GmbH, marking a further step towards<br />
a further concentration of systems capabilities<br />
in the armored vehicle sector in Germany<br />
and Europe (see also related article<br />
in this issue of Newsline).<br />
Newsline: How would you assess the recommendations<br />
and proposals announced<br />
by the Weizsäcker commission and<br />
Rudolf Scharping?<br />
Gabrielli: The commission did a good<br />
job of the tasks set: allowing for security<br />
risks and the interests of the German state,<br />
the commission proposed new structures<br />
which will not only involve adjustments<br />
but also genuine reforms. The defence<br />
minister’s reform concept adopts<br />
the fundamental recommendations of<br />
the commission although he has, for instance,<br />
more than doubled the proportion<br />
of conscripts, for obvious reasons.<br />
Newsline: Basically, therefore, the proposals<br />
confirm that the defence and alliance<br />
capability of the German armed forces<br />
and hence also of the German army<br />
are a firm element of today’s society.<br />
Gabrielli: Yes, that is correct. The general<br />
public is fully supportive of the principles<br />
of a German defence capability and<br />
the ability to operate within the alliance,<br />
in other words the German population is<br />
in favor of a democracy that is “fit for military<br />
tasks”. Election results over the years<br />
have impressively demonstrated just<br />
this. The establishment of the German<br />
Bundeswehr, the membership in NATO<br />
and the subsequent growth of a powerful<br />
defence industry<br />
would not have been<br />
possible without the<br />
democratic support<br />
of the nation.<br />
Newsline: Nonetheless,<br />
particularly<br />
also as a result of<br />
the collapse of the<br />
Mario Gabrielli<br />
12<br />
Soviet power, geostrategic<br />
conditions<br />
have changed dramatically as have the<br />
tasks facing the armed forces and German<br />
foreign policy.<br />
Gabrielli: These changes have been given<br />
due consideration not only by the<br />
German government and parliament but<br />
also by the German armed forces. Looking<br />
at the German constitution, it is evident<br />
that the German government has extended<br />
its security tasks far beyond the<br />
original intent of actual national defence.<br />
Article 24, para. 2 of the German constitution<br />
states the following: “For the maintenance<br />
of peace, the Federation may join a<br />
system of mutual collective security; in<br />
doing so it will consent to such limitations<br />
upon its sovereign powers as will<br />
The transport vehicle Fuchs being used as an ambulance<br />
vehicle in Bosnia.<br />
bring about and secure a peaceful and<br />
lasting order in Europe and among the<br />
nations of the world.” In addition to this,<br />
the United Nations charter, chapter VII,<br />
states that actions are to be taken in the<br />
event of “a threat to the peace, the<br />
breach of peace or an act of aggression”<br />
. . . to assign the air force, navy or army . . .<br />
“to maintain or restore international peace<br />
and security.”<br />
Newsline: In terms of the German Bundeswehr<br />
this means that the tasks will . . .<br />
Gabrielli: . . . surely concentrate on the<br />
following core areas: the Bundeswehr will<br />
have to defend Germany and its allies<br />
against military threats and attacks; the<br />
fundamental commitment towards national<br />
defence therefore continues to be an<br />
important task. Internationally, the German<br />
armed forces are simultaneously making<br />
an important contribution towards<br />
military stability and integration on a European<br />
scale, and – in cooperation with<br />
international forces – are helping to bring<br />
under control and manage crises in Europe<br />
and elsewhere in the world.<br />
Newsline: The logical consequence is<br />
therefore that the tasks under German law<br />
and international treaties cannot be fulfilled<br />
without soldiers and weapons.<br />
Gabrielli: And it is also logical that an armaments<br />
industry is an essential prerequisite<br />
for this. This is equally true for Germany<br />
where the defence industry, being a<br />
private sector industry, has to deal with<br />
very restrictive legislation. In many other<br />
European states, the armaments industry<br />
is nationalized and in the light of this export<br />
policies are must less restrictive than<br />
here in Germany.<br />
Newsline: What you are saying is that,<br />
given the restrictive export policy in Germany,<br />
the competitiveness of the German<br />
defence industry is at a<br />
disadvantage . . .<br />
Gabrielli: ...which is<br />
one of the fundamental<br />
rules of economic dealings,<br />
as anyone will<br />
know: one doesn’t have<br />
to be an expert to understand<br />
this. We urgently<br />
need an EU-wide harmonization<br />
of European legislation<br />
for armament<br />
exports.<br />
Newsline: The German<br />
defence industry, and especially<br />
the companies of the Rheinmetall<br />
group operating under the umbrella of<br />
Rheinmetall DeTec <strong>AG</strong> have managed to<br />
maintain their systems and core capabilities<br />
in important areas of military equipment<br />
for the German forces and partly also<br />
those of allied nations, and they have<br />
managed to do this despite drastic reductions<br />
in terms of personnel and capacities.<br />
Can the industry survive such an ad-<br />
justment process under the existing conditions?<br />
Gabrielli: Any attempt to reduce the existing<br />
status of the German defence industry<br />
even further would not only undermine<br />
and violate our fundamental, statutory<br />
principles but would also unacceptably<br />
diminish Germany’s ability to fulfill its international<br />
peacekeeping obligations in<br />
accordance with the UN charter. Germany<br />
would no longer be a dependable partner<br />
within the international community of nations.<br />
This also illustrates the immense<br />
political significance of the defence industry.<br />
It plays a vital role within the scope of<br />
national and international peacekeeping.<br />
Newsline: In the final declaration of the<br />
UN’s millennium summit held in September<br />
2000 in New York, many heads of government<br />
and state – including the German<br />
chancellor Schröder – spoke out in<br />
favor of a reinforcement of UN peacekeeping<br />
missions. An area where the German<br />
Bundeswehr will also have to show<br />
greater commitment in future.<br />
Gabrielli: The 15 members of the UN Security<br />
Council have indeed decided to prepare<br />
a new concept for peacekeeping missions<br />
of the United Nations and to strengthen<br />
the role of the UN. In doing this, the<br />
UN intends to ensure that peacekeeping<br />
forces will be able to react more quickly to<br />
crises in the future. Besides, Kofi Annan,<br />
the UN secretary general, only recently<br />
supported a whole lot of far-reaching recommendations<br />
made by an international<br />
commission chaired by the former Algerian<br />
foreign minister Lakhdar Brahimi; this commission<br />
has called for “robuster” UN peacekeeping<br />
operations. Amongst other things,<br />
the report says that, when the UN dispatches<br />
troops on peacekeeping missions,<br />
they must also be willing to stand up to the<br />
powers of war and their forces and must be<br />
determined to conquer these forces.<br />
Newsline: According to the intent of the final<br />
declaration of the millennium summit of<br />
the UN Security Council, this is also to be<br />
achieved by better training and equipment.<br />
Gabrielli: The requirements laid down<br />
by the Security Council cannot be fulfilled<br />
without thoroughly trained soldiers and<br />
modern weapon systems. Which is where<br />
we come back to the fundamental principle:<br />
the armed forces need a powerful defence<br />
industry to enforce and maintain<br />
peace in regions of conflict.<br />
Newsline<br />
Optical fibers<br />
for Control Net<br />
Neckartenzlingen. Richard Hirschmann<br />
GmbH & Co. (Neckartenzlingen)<br />
has booked an order from Allen Bradley<br />
Inc. (Mayfield Heights/USA), a subsidiary<br />
of Rockwell Automation, for the<br />
development and production of an<br />
optical fiber module for the field bus<br />
Control Net. Allen Bradley will market<br />
the module worldwide under its own<br />
name. The order worth approx. three<br />
million German marks spans a period<br />
of three years.<br />
Field buses like the Profibus, Device<br />
Net or Control Net are used for data<br />
transmission in industrial communication<br />
networks. Optical fiber modules<br />
convert electrical signals into optical<br />
signals. The advantage offered by such<br />
systems is that they can cover distances<br />
of several kilometers without<br />
requiring intermediate amplification,<br />
and the signals are insensitive to<br />
electromagnetic interference phenomena<br />
frequently occurring in production<br />
environments.<br />
Hirschmann is one of the renowned<br />
manufacturers of optical fiber modules<br />
Hirschmann<br />
has a new name<br />
Neckartenzlingen. Richard Hirschmann<br />
GmbH & Co. KG (Neckartenzlingen)<br />
is now operating under a<br />
new name: Hirschmann Electronics<br />
GmbH & Co. KG. This new name reflects<br />
the increasingly global orientation<br />
of the Hirschmann group.<br />
Already today, nearly 60 percent of<br />
sales are generated abroad. The<br />
marketing companies in Europe and<br />
overseas will likewise operate under<br />
the name of Hirschmann Electronics<br />
in future. As a subsidiary of the<br />
listed Aditron <strong>AG</strong>, Hirschmann is a<br />
member of the Düsseldorf-based<br />
Rheinmetall group. Hirschmann‘s<br />
products range from mobile transmission<br />
and reception systems to<br />
analog and digital broadcasting<br />
technology through to network components<br />
and field bus systems for<br />
the automation sector. With a workforce<br />
of 2,700 persons worldwide,<br />
Hirschmann achieved sales of 576<br />
million German marks in 1999.<br />
13<br />
Insensitive to electromagnetic interference:<br />
optical fiber modules from<br />
Hirschmann for data transmission in<br />
industrial communication networks.<br />
for various field bus applications.<br />
Manfred Jakob, international sales<br />
manager of the automation and network<br />
solutions division, points out: “In<br />
the past, our program did not include a<br />
module for Control Net, which is a<br />
standard widely used in the USA. The<br />
order from Allen Bradley has now given<br />
Hirschmann access to the North American<br />
market, where the Rockwell group<br />
is one of the leaders in the automation<br />
business.”<br />
Film/foil division<br />
now strengthened<br />
Rudersberg/Niederkassel-Mondorf.<br />
A member of the Jagenberg<br />
Group, Lemo Maschinenbau GmbH,<br />
Niederkassel-Mondorf, Germany, is<br />
taking over with instant effect the<br />
business operation of SMR Stiegler<br />
Maschinenfabrik GmbH at Rudersberg<br />
close by Stuttgart. The move<br />
enables Lemo Maschinenbau<br />
GmbH to further round off its product<br />
lineup. Lemo will continue to<br />
run the Rudersberg location as a<br />
production and R&D center probably<br />
with a staff of around 40. Stiegler’s<br />
existing expertise will be utilized,<br />
further developed and enhanced<br />
through this bundling of resources.<br />
Lemo intends to integrate the<br />
newly acquired operation into its<br />
own global marketing and service<br />
network and hence ensure that<br />
Stiegler customers, too, will benefit<br />
from existing customer proximity in<br />
product development and aftersales<br />
service.
Newsline<br />
Between 29 September and 3 October 2000, 15 journalists from renowned European newspapers and magazines<br />
traveled to the USA to collect first-hand information on the activities of the <strong>Kolbenschmidt</strong> <strong>Pierburg</strong> group in North<br />
America. The tight schedule included visits with <strong>Pierburg</strong> Inc. in Fountain Inn/Greenville (South Carolina) and Karl<br />
Schmidt Unisia Inc. in Marinette (Wisconsin). One of the group of journalists was Christian Bartsch (72) who worked for<br />
the German newspapers Frankfurter Allgemeine Zeitung, Süddeutsche Zeitung and the Swiss Automobile Revue.<br />
Bartsch (born in Klein-Polkwitz, Lower Silesia) who has written about his impressions of <strong>Kolbenschmidt</strong> <strong>Pierburg</strong>’s activities<br />
in the USA, is rated as an expert in this field: after school and an apprenticeship as a car mechanic, he went on<br />
to study mechanical engineering in Dresden and Berlin; after his university studies, he developed two-stroke engines<br />
for four years and then worked in the industrial control and measurement sector for some years. In 1961, he moved on<br />
to work as a technical journalist for the paper Motor Rundschau (Frankfurt am Main); Bartsch<br />
has been working as a free-lance journalist, author and consultant to renowned German<br />
companies – primarily in the automotive sector – since 1970. Summing up his personal impressions<br />
of the trip, Bartsch stated: “During our short trip through the USA, we journalists<br />
got to know the “other side” of <strong>Kolbenschmidt</strong> <strong>Pierburg</strong> that will help to secure the group’s<br />
future. The group is in the process of conquering the New World, at least its automotive sector.<br />
And we learned about future developments to be tackled by <strong>Kolbenschmidt</strong> <strong>Pierburg</strong>.<br />
There is certainly plenty of work on the road ahead!”<br />
<strong>Kolbenschmidt</strong> <strong>Pierburg</strong>: great success with German technology<br />
A circumspect approach to the USA<br />
Greenville/Marinette. When Europeans<br />
refer to the USA, they may mean<br />
Florida, New York or perhaps Hollywood<br />
and Los Angeles. We know about<br />
the last war in the States, the war<br />
between the north and south and obviously<br />
about the Indians from films<br />
and literature. But what about <strong>Kolbenschmidt</strong><br />
<strong>Pierburg</strong>? What have they got<br />
to do with the USA? In point of fact,<br />
quite a lot – and a lot more in future,<br />
too. The following article gives some<br />
impressions gained during a short trip<br />
through the United States.<br />
“What you see there are all potential<br />
customers”, said Dr. Dieter Seipler<br />
with broad smile. What he actually<br />
meant were the large American limousines,<br />
pick-ups and SUVs (special utility<br />
vehicles) on a crowded street. Some<br />
of them already have pistons from <strong>Kolbenschmidt</strong>,<br />
originating from the joint<br />
production program with Unisia JECS,<br />
a Japanese piston manufacturer. Other<br />
vehicles may be equipped with Pier-<br />
burg parts, “but still not enough” in<br />
the opinion of Seipler, who points out<br />
that this will certainly change in the<br />
years to come; after all, the company<br />
only entered the US market with its<br />
own production in 1996. Given this<br />
short period of time, the company has<br />
achieved a lot.<br />
In 1995, the executive board of <strong>Pierburg</strong><br />
<strong>AG</strong> decided to establish a production<br />
plant in Greenville, South Carolina,<br />
in the south east of the USA.<br />
There were many reasons for choosing<br />
this site, particularly the vicinity of<br />
BMW in the neighboring town of Spartanburg,<br />
DaimlerChrysler in Alabama<br />
and especially VW in Mexico. The infrastructure<br />
in the region is excellent; a<br />
further bonus has been that the state<br />
of Carolina helped with tax incentives<br />
and with the training of the initial<br />
workforce. As explained by Willy Ruefenacht,<br />
president of <strong>Pierburg</strong> Inc.,<br />
“we had to teach the employees the<br />
metric system.” Although the system<br />
Production started in late summer 1996: the <strong>Pierburg</strong> Inc. plant at Fountain Inn.<br />
14<br />
Rosa Lee, a <strong>Pierburg</strong> Inc. employee in<br />
Greenville (South Carolina) since 1998<br />
at the functional test stand of line 3<br />
where fuel tank modules are being<br />
tested for DaimlerChrysler.<br />
has existed in the USA for more than<br />
three decades, it has never really been<br />
used. Distances are still measured in<br />
miles, as evident everywhere on the<br />
signposts and even on the speedometers<br />
in cars. And inches are still a common<br />
unit as are many other older units<br />
of measurement.<br />
The first gasoline modules left the<br />
new factory in Greenville on the first of<br />
August 1996, and by the end of the<br />
year the company had generated sales<br />
worth two million dollars. Today, sales<br />
are in the order of 30 million dollars,<br />
and the trend is up. Initially, only four<br />
products were manufactured; today,<br />
(Continued on page 15)
35 different products are produced.<br />
Ruefenacht is optimistic that sales will<br />
have doubled within the next four to five<br />
years, especially as customers now<br />
include General Motors (GM) and Ford<br />
(orders from the latter having been<br />
won against stiff competition). The<br />
production of throttle bodies and of oil<br />
and water pumps is due to be launched<br />
shortly. More than 800,000<br />
throttle bodies are to be delivered to<br />
GM alone per year. And further components<br />
will follow.<br />
The technology for all of these components<br />
originally came from Germany<br />
and this is where the development<br />
center will remain. <strong>Kolbenschmidt</strong><br />
<strong>Pierburg</strong> is, however, also in the process<br />
of establishing development centers<br />
in Fort Wayne and Auburn Hills near<br />
Detroit in order to be able to serve<br />
US carmakers more quickly. The first<br />
Willy Ruefenacht Frank Pohlmann<br />
components were all-German; today,<br />
about 50 percent come from Germany<br />
and the rest are manufactured in the<br />
USA. To achieve this, <strong>Pierburg</strong> took its<br />
suppliers like Alfmeier, Mikron, Friedrichs<br />
+ Rath, Norma and others to the<br />
States to warrant top quality.<br />
Michael Thiery who was sent to the<br />
USA by <strong>Pierburg</strong> and has returned to<br />
Germany in the meantime has drawn<br />
attention to the fact that Germany and<br />
the USA have a totally different approach<br />
to technical developments.<br />
Whereas a constant forward-looking<br />
approach is pursued in Germany, this<br />
is less prominent in the USA. There have<br />
been short development bursts<br />
when new engines or other car components<br />
had to be developed. The new<br />
components were then checked out<br />
thoroughly (in which context it is worth<br />
noting that US carmakers benefit from<br />
far bigger pre-series than are common<br />
Newsline<br />
<strong>Kolbenschmidt</strong> <strong>Pierburg</strong>: great success with German technology<br />
A circumspect approach to the USA<br />
(Continued from page 14)<br />
Some 50,000 pistons leave the production plants of Karl Schmidt Unisia Inc. in<br />
Marinette (Wisconsin) every day.<br />
in Germany). Once this stage was reached,<br />
the product was left unchanged<br />
for as long as possible.<br />
“To determine weaknesses, we perform<br />
failure analyses and load tests like<br />
endurance runs on a few components.<br />
In America, some 1000 components<br />
have to be tested before seriesproduction<br />
is launched and this is how<br />
they find defects – rather an expensive<br />
method in our opinion”, says<br />
Thiery. “We will combine the two methods<br />
in order to bring the failure rate<br />
down to zero”. One of the next steps in<br />
this direction will be to automate production<br />
processes even further in order<br />
to assure the quality both in Germany<br />
and the USA.<br />
Things haven’t got quite this far,<br />
however. Currently, 120 employees of<br />
which 80 are female work at the plant<br />
in Greenville. The average age is 36.<br />
Assuming that an annual average of at<br />
least five percent of hours missed is<br />
common in Germany, the corresponding<br />
figure for the USA is less than<br />
one. Compared to an average of 210<br />
working days per year in Germany,<br />
Americans work for 249 days – one<br />
entire production month extra. According<br />
to Willy Ruefenacht, the workforce<br />
in America is highly motivated. Incidentally,<br />
about 90 percent of US-Americans<br />
do not have a passport, i.e. have<br />
never left their country – hardly surprising<br />
considering the size of their<br />
country. Commenting on the level of<br />
education in the USA, Ruefenacht<br />
points out that this is lower. “Besides,<br />
they have nothing like the German<br />
15<br />
qualification system (apprenticeships<br />
etc.). We either have unskilled workers<br />
or people who have graduated from<br />
college.”<br />
Leaving the warm summer temperatures<br />
of Greenville, we flew northward<br />
via Chicago to Marinette, lying in the<br />
north of the USA where <strong>Kolbenschmidt</strong><br />
and the Japanese manufacturer Unisia<br />
built a joint production site for pistons<br />
in 1990 – probably the world’s largest<br />
piston factory. Following the purchase<br />
of the US piston manufacturer Zollner,<br />
<strong>Kolbenschmidt</strong> is now the biggest piston<br />
manufacturer on the US market<br />
and ranks second in the world. Frank<br />
Pohlmann, president of Karl Schmidt<br />
Unisia Inc. (KUS) in Marinette, points<br />
out that there are only three other major<br />
piston manufacturers in the world.<br />
The smaller companies have either been<br />
taken over or have disappeared<br />
from the market. <strong>Kolbenschmidt</strong> <strong>Pierburg</strong><br />
has secured an excellent position<br />
and, above all, it is determined to<br />
achieve further growth.<br />
KUS in Marinette presently delivers<br />
50,000 pistons per day. Another<br />
40,000 pistons are manufactured in<br />
Fort Wayne and 10,000 in a Canadian<br />
<strong>Kolbenschmidt</strong> factory. In other words,<br />
about 100,000 pistons per day are<br />
produced on the North American continent<br />
alone! Customers include all engine<br />
manufacturers in the USA, ranging<br />
from Harley Davison for which<br />
KUS is the sole supplier, to ship engines<br />
from OMC and all carmakers<br />
through to large diesel engines. An in-<br />
(Continued on page 16)
(Continued from page 15)<br />
teresting point is that Ford, GM and<br />
DaimlerChrysler still produce about 27<br />
percent of their pistons themselves –<br />
strictly supported by their unions<br />
which are adamant that none of the<br />
people involved in piston manufacture<br />
should lose their jobs. A situation that<br />
cannot be sustained in the long run<br />
because only specialists like <strong>Kolbenschmidt</strong><br />
<strong>Pierburg</strong> are capable of making<br />
the necessary advance developments<br />
required in this sector. This is<br />
why, in the course of the last 25 years,<br />
German carmakers have been transferring<br />
ever bigger shares of their development<br />
and production to suppliers<br />
who have long since started<br />
doing their own development work.<br />
Marinette welcomed us with cool<br />
temperatures and autumnal colors –<br />
although the Indian Summer was expected<br />
to start two weeks later – and<br />
with the only hotel in the town. We were<br />
all the more impressed when we saw<br />
what Frank Pohlmann and his deputy<br />
Richard Dishaw, also development manager<br />
at KUS, had to offer us. The trend<br />
from component to module deliveries<br />
is equally evident for pistons. Although<br />
some pistons are still delivered without<br />
rings, GM and Ford demand modu-<br />
Newsline<br />
<strong>Kolbenschmidt</strong> <strong>Pierburg</strong>: great success with German technology<br />
A circumspect approach to the USA<br />
Dr. Dieter Seipler, chairman of the executive<br />
board, explaining the goals for<br />
the <strong>Kolbenschmidt</strong> <strong>Pierburg</strong> group in<br />
the USA to a group of 15 journalists.<br />
His message: further growth.<br />
les having the piston<br />
with rings, bolts and<br />
connecting rod. Since<br />
<strong>Kolbenschmidt</strong> in<br />
Neckarsulm, Germany,<br />
also casts engine<br />
blocks, the road<br />
to the short-block engine<br />
is not far away,<br />
and <strong>Pierburg</strong> could<br />
contribute numerous<br />
other components<br />
up to and including<br />
the intake manifold.<br />
The short-block engines<br />
could then quickly<br />
be complemented<br />
to complete, assembled<br />
engines readyfor-installation<br />
which<br />
are still manufactured<br />
and assembled<br />
by carmakers nowadays.<br />
<strong>Kolbenschmidt</strong><br />
<strong>Pierburg</strong> still has a lot<br />
of work to do in the<br />
years to come. In Marinette<br />
Dr. Dieter Seipler,<br />
chairman of the<br />
executive board of <strong>Kolbenschmidt</strong> <strong>Pierburg</strong><br />
<strong>AG</strong>, outlined the projects for the<br />
future, including high-pressure pumps<br />
for injection. He emphasized that the<br />
development of new materials is considered<br />
the most important research<br />
project as the trend toward high engine<br />
performance with simultaneous downsizing<br />
will accelerate in future. Times<br />
are not getting easier for the supplier<br />
industry, especially as – to comply with<br />
future exhaust limit thresholds – pollution<br />
emission values will have to be reduced<br />
by another 50% and fuel consumption<br />
by about 20% although car<br />
manufacturers demand lower prices<br />
despite the technological advances<br />
made. Seipler remarked that these requirements<br />
can only be met if the<br />
group continues to grow.<br />
Which innovations are on the horizon<br />
for the piston sector? <strong>Kolbenschmidt</strong>’s<br />
diesel piston with potted<br />
cooling channel is to be installed in<br />
the 1.9 liter VW TDI with 110kW/150 hp.<br />
A relatively new product from Marinette<br />
is the articulated piston for utility<br />
vehicle diesel engines, out of which<br />
the pure steel piston will be derived:<br />
16<br />
Certified machine operator Bonnie Dobbin, who has been<br />
with Karl Schmidt Unisia Inc. (KUS) in Marinette since<br />
1986, at the automatic final inspection station, checking<br />
out the Saturn piston for General Motors.<br />
this will probably go into series-production<br />
in about seven to ten years time.<br />
For VW, <strong>Kolbenschmidt</strong> has also<br />
developed the piston for the direct injection<br />
gasoline engine (FSI) which<br />
features a complicated crown surface<br />
to support the combustion process.<br />
This system will allow fuel savings of<br />
about 15 percent. Other projects include<br />
high heat-resistant aluminum alloys,<br />
coatings and composites with<br />
other materials. These examples illustrate<br />
just some of the many different<br />
tasks for the next decade. Even before<br />
the decade is over, spark ignition and<br />
diesel engines will work with homogenous<br />
combustion and emit practically<br />
no pollutants whatsoever.<br />
<strong>Kolbenschmidt</strong> <strong>Pierburg</strong>’s commitment<br />
in the USA has been a major<br />
step, rendered possible by the technologies<br />
developed in Germany. The<br />
group’s plants in the USA will only continue<br />
to show above-average performance<br />
if the parent company in Germany<br />
continues to create innovative<br />
products. And this is something we<br />
are pretty certain about.<br />
Christian Bartsch
Order backlog<br />
up 16 percent<br />
Neuss. Jagenberg <strong>AG</strong>, Neuss, supplier<br />
to the international paper, film,<br />
foil production and conversion companies,<br />
has shown a significant increase<br />
in order intake during the year<br />
2000. As of September 30, 2000, Jagenberg’s<br />
order influx had grown 5.8<br />
percent over the year-earlier € 258.8<br />
million to reach € 299.6 million. As a<br />
consequence, orders on hand as of<br />
Newsline<br />
A partner of the armed forces and industry – Rheinmetall DeTec<br />
Poland – a strategic market<br />
Warsaw/Ratingen. The fall of the<br />
Iron Curtain, the reunification of Germany,<br />
the collapse of the Soviet Union<br />
and the disappearance of the Warsaw<br />
Pact have fundamentally changed the<br />
boundary conditions for the armed forces<br />
of Germany and Poland alike, and<br />
for the defence industries of these nations.<br />
Poland has become an important<br />
military ally of Germany within NA-<br />
TO and – as a future member of the European<br />
Union – has also developed into<br />
a significant economic partner.<br />
The development of the market in<br />
Poland has been and will be determined<br />
very largely by the following factors:<br />
Poland became a member of NA-<br />
TO on 12 March 1999; Poland has applied<br />
for membership in the EU and<br />
under the six-year plan announced by<br />
the Polish defence minister, decisions<br />
are due shortly on the procurement of<br />
new military systems and the upgrading<br />
of existing systems.<br />
Based on the regulations (issued by<br />
the council of ministers on 17 November<br />
1999) governing the reorganization<br />
of the Polish defence industry, consisting<br />
of 37 government-owned companies,<br />
ten research institutes, twelve<br />
maintenance establishments and<br />
three trading companies and also on<br />
the privatization initiative, cooperation<br />
ventures with the Polish industry<br />
now have an entirely different framework.<br />
Privatization is an important<br />
step towards becoming fit for international<br />
competition and cooperation.<br />
Amounting to about 860 million German<br />
marks, the procurement budget<br />
for this year is relatively low. Nonetheless,<br />
given the size of the country, its<br />
September 30, 2000, gained a very<br />
heartening 15.6 percent and totaled €<br />
222 million. In the first three quarters<br />
of 2000, sales by the Jagenberg group<br />
grew to € 211.1 million, up 5.8 percent<br />
over the first nine months of 1999.<br />
Both divisions, paper technology<br />
and film/foil technology shared<br />
equally in this upswing. Thanks to a<br />
brisk order inflow for slitters and coaters<br />
as well as major international<br />
projects, again including contracts<br />
with well-known North American customers,<br />
order received by paper<br />
armed forces with 240,000 soldiers,<br />
the positive economic development –<br />
an economic growth of six percent is<br />
predicted for this year – and the modernization<br />
and standardization requirements<br />
of the armed forces, Poland is<br />
rated as a strategic growth market for<br />
the defence industry.<br />
As a partner of the armed forces and<br />
the industry of Poland, Rheinmetall<br />
DeTec <strong>AG</strong> is actively committed to the<br />
Distinguished by the Polish “Defender”: the observation<br />
and reconnaissance equipment BAA from STN Atlas Elektronik<br />
GmbH. Pictured here is the advanced opto-electronic<br />
observation and reconnaissance system forming part<br />
of the reconnaissance vehicle MRDM2.<br />
Polish market. The medium to long<br />
term strategy of the Rheinmetall DeTec<br />
group is:<br />
★ to tap sales potential on new markets<br />
by offering innovative, affordable<br />
products tailored to the relevant requirements<br />
★ to improve the international competitiveness<br />
by means of alliances, mergers<br />
and acquisitions.<br />
This will also help to strengthen the<br />
integration and the interoperability of<br />
17<br />
technology advanced by around 10<br />
percent. A steady intake of orders in<br />
the USA and the rebounding Asian<br />
markets meant that orders booked by<br />
film/foil technology jumped by as<br />
much as 18 percent over 1999.<br />
For the whole of 2000, Jagenberg<br />
expects an order gain of over 20 percent<br />
compared with 1999. With international<br />
markets for specialty machinery<br />
for the paper, film, and foil industries<br />
making good recovery, Jagenberg<br />
<strong>AG</strong> will be able to launch into fiscal<br />
2001 with a solid order backlog.<br />
Poland in the alliance and to promote<br />
cooperation in the defence industry.<br />
Poland has been an important customer<br />
of Oerlikon Contraves for seven<br />
years; the latter entered into an important<br />
strategic cooperation with the prime<br />
contractor Radwar (Warsaw) to improve<br />
the combat effectiveness of the<br />
Loara air defence system. In addition to<br />
this, the 35 mm gun of Oerlikon Contraves<br />
is being built under license by the<br />
Polish company Huta<br />
Stalowa Wola in Stalowa<br />
Wola. The observation<br />
and reconnaissance<br />
equipment BAA<br />
of STN Atlas Elektronik<br />
GmbH has been selected<br />
to improve the<br />
performance of the<br />
Polish reconnaissance<br />
vehicle BRDM2;<br />
this order has been<br />
placed by the Polish<br />
prime contractor WZM<br />
Siemanowice (Siemanowice).<br />
MaK (Kiel), recently<br />
incorporated in the<br />
new company Rheinmetall<br />
Landsysteme GmbH, has entered<br />
into a marketing cooperation for<br />
armored vehicles with the Polish company<br />
Bumar Labedy (Gleiwitz).<br />
The members of the Rheinmetall De-<br />
Tec group will continue to offer their<br />
competence in the defence systems<br />
and services sector as a partner of the<br />
armed forces and industry of Poland.<br />
Dieter Hanel*<br />
*Dieter Hanel (55) is the marketing manager of MaK<br />
System Gesellschaft mbH, Kiel, which was recently<br />
integrated in Rheinmetall Landsysteme GmbH.
Newsline<br />
Rheinmetall Landsysteme GmbH in Kiel delivered 100th air start unit<br />
International success<br />
after only a few years<br />
Kiel. A milestone: Rheinmetall Landsysteme<br />
GmbH recently handed over<br />
the 100th air start unit. It is the tenth<br />
unit of this type delivered to Saudi Arabian<br />
Airlines which had placed the order<br />
following the highly successful<br />
operation of the seven air start units<br />
already delivered last year. When all<br />
units under the present order have been<br />
delivered, Saudi Arabian Airlines<br />
will have a total of 26 MSU 400, one of<br />
the new units being intended for the<br />
Royal Fleet of the Kingdom of Saudi<br />
Arabia. The air start unit is a gas turbine<br />
driven ground support equipment<br />
used to start the engines of aircraft<br />
whose onboard power supply is inoperative.<br />
Since 1976, the company has been<br />
working on the integration of gas turbine<br />
units developed for airborne applications<br />
into military and commercial<br />
ground equipment. It soon became apparent<br />
that the necessary peripheral assemblies<br />
such as<br />
gear box, fuel control,<br />
and electronic<br />
control unit could<br />
be implemented<br />
much more economically<br />
on the basis<br />
of vehicle-specific<br />
know-how.<br />
For numerous military<br />
programs,<br />
Rheinmetall Landsysteme<br />
GmbH<br />
developed auxiliary<br />
power units<br />
(APU) for modern<br />
military vehicles<br />
using both airborne<br />
components<br />
such as parts of<br />
the gas turbine and the company’s expertise<br />
in this sector. The Leopard 2<br />
and M1 Abrams main battle tanks were<br />
equipped with prototype APUs,<br />
whereas the South Korean Armored<br />
Recovery Vehicles K 1 were equipped<br />
with series-produced APUs. These<br />
units were developed and built in a<br />
close cooperation with Hamilton<br />
Sundstrand, USA, one of the top manufacturers<br />
of APUs for aviation.<br />
At the beginning of the 1990s, experts<br />
in Kiel started to examine the<br />
possibilities of using this special knowledge<br />
in commercial programs as<br />
well. Investigations were conducted<br />
into the various possible applications,<br />
such as in the field of cogeneration power<br />
plants, stand-by power supply for<br />
high speed trains and ships.<br />
The result of a study showed that not<br />
only increasing quantities but also performance-enhanced<br />
ground support<br />
equipment would be required by the<br />
growing market for civil aviation and<br />
the new generation of aircraft which<br />
was at that time due to be introduced.<br />
In particular, there was a demand for<br />
air start units for the new generation of<br />
aircraft engines. Two or even three<br />
units of the equipment that was in service<br />
then were needed to start the engines<br />
reliably. The Kiel based company<br />
succeeded in developing a much more<br />
powerful air start unit, the MSU 200<br />
Used at many airports around the world: the air start unit of Rheinmetall Landsysteme<br />
GmbH (Kiel). The 100th ASU was handed over to Saudi Arabian Airlines.<br />
and 400, using Sundstrand’s gas turbine<br />
APS 2000 and the APU of the<br />
Boeing 737-300, -400, -500. MaK’s air<br />
start unit MSU 200 is capable of starting<br />
all aircraft engines of the Airbus family<br />
and the Boeing family up to B 747-<br />
400, while the twin unit MSU 400 can<br />
even start all known engines of existing<br />
and future generations of aircraft.<br />
The company belonging to Rheinmetall’s<br />
Defence sector started develo-<br />
18<br />
Justifiably proud of the 100th air start<br />
unit: the ASU production team.<br />
ping its air start unit in April 1995. Only<br />
one year later, the first production unit<br />
was delivered to Leipzig airport. Another<br />
six air start units were delivered to<br />
various European customers in 1996.<br />
And in 1997, the company finally succeeded<br />
in selling the first unit to a customer<br />
in the USA. This was the beginning<br />
of the worldwide marketing of the<br />
air start unit. Presentations of the<br />
unit’s capabilities, characteristics, efficiency<br />
and performance by means of a<br />
demonstrator were carried out for interested<br />
customers in South-East Asia,<br />
the Middle East and Scandinavia.<br />
The good results of these demonstrationsconvinced<br />
various customers<br />
and led to<br />
further contracts.<br />
In 1998, air start<br />
units were ordered<br />
by customers from<br />
the USA, Saudi<br />
Arabia, and Scandinavia.<br />
And the<br />
company succeeded<br />
in qualifying<br />
the MSU 200 as<br />
the standard<br />
equipment of SAS<br />
and the MSU 400<br />
as the standard<br />
equipment of Saudi<br />
Arabian Airlines.<br />
Meanwhile, air<br />
start units are in service at airports in<br />
thirteen different countries on three<br />
continents.<br />
The excellent experience which customers<br />
have gained with the systems<br />
and the customer-oriented service<br />
that is provided are the reason why the<br />
company has managed to assert its<br />
position internationally against the<br />
conventional units of the competitors<br />
in less than five years.
Newsline<br />
MSI uses electronic trade platform for car components<br />
TecCom for access via Internet<br />
Frankfurt/Neckarsulm. TecDoc Informations<br />
System GmbH of Cologne<br />
(established in 1994) whose founding<br />
members included the former <strong>Pierburg</strong><br />
GmbH and Siemens Business<br />
Services GmbH & Co. OHG (Munich)<br />
have transformed their e-business<br />
project TecCom, associated with the<br />
development and marketing of an electronic<br />
trade platform for car components,<br />
into TecCom GmbH (Unterschleißheim).<br />
Besides the very successful<br />
electronic catalog on CD-ROM,<br />
an e-business “branch” solution is<br />
now also available for the European<br />
automotive aftermarket, specifically<br />
for the automotive parts industry and<br />
parts trade and for repair shops. One<br />
of the more than 20 renowned European<br />
supplier companies that founded<br />
TecCom is MSI Motor Service International<br />
GmbH. MSI – which was likewise<br />
established not so long ago –<br />
recently completed its first and very<br />
successful exhibit with its two trade<br />
marks <strong>Kolbenschmidt</strong> and <strong>Pierburg</strong> at<br />
the Automechanika 2000.<br />
Commenting on the international ecommerce<br />
initiative entitled TecCom,<br />
currently covering <strong>Pierburg</strong>’s entire<br />
trade program, MSI’s managing director<br />
Torsten Stiller explains that “this<br />
modern solution offers a complete<br />
Subsidiary in Greece<br />
Athens. STN Atlas Elektronik GmbH now has its own<br />
subsidiary in Greece. The new 100% subsidiary with its<br />
headquarters in Athens is a stock corporation, operating<br />
under the name of STN Atlas (Hellas) Monoprosopi E.P.E.<br />
The trade name is STN Atlas (Hellas) E.P.E. STN Atlas<br />
(Hellas) E.P.E was already established in June of this year.<br />
The main purpose of the company is to look after the interests<br />
of the parent company in the case of orders from<br />
the contracting authorities in Greece, and to deal with<br />
the related offset agreements. Like many other countries,<br />
Greece has regulations specifying that governmental<br />
orders should preferably be placed with Greek<br />
companies. These requirements also apply to Greek subsidiaries<br />
of foreign companies to the extent that Greek<br />
persons are employed by the subsidiary. This applies to<br />
STN Atlas (Hellas) E.P.E. For STN Atlas Elektronik GmbH,<br />
this new subsidiary is another step towards the greater<br />
internationalization and globalization of the company,<br />
at the same time allowing for the justifiable interests of<br />
the purchasing countries which are demanding the appropriate<br />
involvement of their local industries.<br />
Also available via the Internet thanks<br />
to TecCom: <strong>Pierburg</strong>’s system program<br />
from MSI Motor Service International<br />
GmbH.<br />
and comprehensive system with<br />
which our business processes can be<br />
included in our logistic system even<br />
faster and even more cost effectively<br />
than in the past. <strong>Pierburg</strong> products<br />
contained in the electronic parts catalog<br />
can now be ordered via the Internet;<br />
in addition, availability data, price<br />
and catalog data can be transmitted.<br />
Moreover, MSI can now send its<br />
customers delivery note and invoice<br />
data electronically. In other words:<br />
19<br />
this new e-commerce concept developed<br />
out of the electronic portal Tec-<br />
Doc and the electronic marketplace<br />
TecCom is one of the most effective<br />
systems of its kind.” MSI’s <strong>Kolbenschmidt</strong><br />
system program will be marketed<br />
via the new product disk (electronic<br />
Internet-based product catalog)<br />
which was also presented at the Automechanika<br />
2000.<br />
Looking back: in early 1994 the aftermarket<br />
division of the (former) company<br />
<strong>Pierburg</strong> GmbH was one of the<br />
founding partners of TecDoc Informations<br />
System GmbH which has been responsible<br />
for the concepts, updating<br />
and marketing of the electronic catalog<br />
of car parts. The TecDoc database<br />
on CD-ROM which is updated every<br />
three months is a real “hit”. According<br />
to figures published by the Colognebased<br />
company, more than 15,000<br />
CDs are distributed throughout Europe<br />
per quarter. These CDs contain the catalog<br />
data of the automotive supplier<br />
industry in electronic form, with more<br />
than half a million articles from more<br />
than 100 manufacturers, of which some<br />
90,000 are provided with illustrations.<br />
Added to this, about 10,000 CD-<br />
ROMs are based on the vehicle park<br />
and search structure of the TecDoc export<br />
version.<br />
150th scanner for USA<br />
Jena. Heimann Biometric Systems GmbH (HBS), one of<br />
the leading manufacturers of technology for the digital<br />
capturing of fingerprints in police applications recently delivered<br />
the 150th scanner of the LS1/P+ Livescanner type<br />
since series production was launched in the fall of 1999.<br />
The scanner was shipped to Sagem Morpho Inc. (Tacoma/USA),<br />
a long-time OEM customer and one of the<br />
pioneers regarding the integration of advanced HBS finger<br />
and palm scan technology into AFIS automatic fingerprint<br />
identification systems. In the words of Dr. Bernd Reinhold,<br />
president of HBS: “With 150 LS1/P+ (the FBI certified, international<br />
scanner version) and another 500 LS1/P (the specific<br />
scanner version developed for the Japanese market)<br />
sold to many users and countries all over the world, HBS<br />
has established itself as a permanent and reliable key<br />
source of this kind of product on the market. We are proud<br />
to see that our strong development efforts over the last<br />
years and our customer-oriented commitment paid off so<br />
well. This would not have been possible so quickly without<br />
the help and demands from our partners, amongst them<br />
Sagem Morpho Inc. is playing an important role.”
Newsline<br />
Successful product development at Heimann Systems GmbH (Wiesbaden)<br />
ProLine system sets<br />
standards for future<br />
Wiesbaden. Omnipresent at the<br />
World Exposition Expo 2000 and in<br />
daily use in 150 different countries all<br />
over the world: X-ray inspection systems<br />
from Heimann Systems GmbH, a<br />
member of the Aditron group. ProLine,<br />
the most recent system concept from<br />
the company has once again set standards<br />
in radiographic screening technology.<br />
ProLine is distinguished by modern<br />
image processing functions, an<br />
optimized working environment and<br />
an attractive design. Based on its new<br />
modular system concept, the Wiesbaden-based<br />
company will be able to further<br />
expand its market leadership in<br />
the field of X-ray screening equipment<br />
for persons and baggage at airports.<br />
The new system is not only trend-setting<br />
– its development has also given<br />
further impetus and incentives for the<br />
future.<br />
In view of growing competition especially<br />
on the American market, Heimann<br />
Systems GmbH<br />
decided in 1996 to<br />
adopt a new approach<br />
to product development.<br />
Focusing on<br />
cost saving aspects, a<br />
project team was set<br />
up to perform an<br />
indepth analysis of<br />
X-ray screening equipment<br />
for baggage.<br />
Stefan Aust, Heimann<br />
Systems product manager<br />
for baggage<br />
screening equipment,<br />
points out that “longterm<br />
aspects and considerations<br />
had to be<br />
taken into account due to the seven to<br />
ten year functional cycle of such systems.<br />
This meant that future market<br />
requirements had to be identified.” An<br />
intensive exchange of information therefore<br />
took place between the team<br />
members of Heimann Systems and external<br />
authorities, ultimately resulting<br />
in an entirely new system generation.<br />
Commenting on the initial stages of<br />
project work in the team, Aust explains<br />
that “to start off with, we got together<br />
with all involved: this group consisted<br />
of representatives from the relevant<br />
authorities, airport operators and security<br />
personnel as the actual operators<br />
of the equipment. The different requirements<br />
and concepts of the individual<br />
groups were defined in the course<br />
of the discussions held.”<br />
At the same time, the “stress” research<br />
group of the institute for research<br />
and development of industrial medicine<br />
at Heidelberg University prepared<br />
an expertise on ergonomic requirements<br />
relating to X-ray screening<br />
equipment used at airports. The study<br />
(commissioned by Heimann Systems)<br />
conducted under the leadership of Professor<br />
Horst Meyer indicated various<br />
deficits regarding the ergonomic design<br />
of the working places – for instance,<br />
no arm rests were provided at<br />
that time or the stand casing did not offer<br />
enough foot space. The experts<br />
from Heidelberg came to the conclusion<br />
that an adjustable system would be<br />
recommendable.<br />
Heimann Systems’ advanced ProLine system concept: the flexible modular<br />
system providing an optimized working place design for baggage screening<br />
personnel has been well received on the market.<br />
Remarking on the significance of the<br />
research order, Aust pointed out that<br />
conventional ergonomic designs of systems<br />
installed at airports revealed<br />
considerable weaknesses. The harmonization<br />
of European regulations on the<br />
protection of health and industrial safety<br />
has made the ergonomic design of<br />
working places used to screen baggage<br />
at airports all the more essential. Industrial<br />
designers were therefore engaged<br />
in order to develop new possibilities of<br />
achieving an aesthetic design coupled<br />
with a greater system flexibility.<br />
20<br />
The excellent cooperation of the team<br />
members with each other and with experts<br />
from outside the company boosted<br />
the creativity of all involved. New<br />
ideas were developed and introduced<br />
under the responsibility of team members<br />
and without time pressure. This<br />
unique form of product development<br />
gave rise to an innovative overall solution<br />
which, as a modular system, can<br />
be adapted to the individual requirements<br />
of customers.<br />
The new operator-oriented concept of<br />
the working environment has a direct<br />
impact on the quality of security<br />
checks. Aust emphasizes that higher<br />
passenger volumes and greater quantities<br />
of baggage have increased the<br />
psychological pressure on security personnel.<br />
System operators have to decide<br />
within a matter of seconds whether<br />
or not the screened baggage presents<br />
a potential threat. This is why it is particularly<br />
important to give due consideration<br />
to the “human factor”.<br />
Optimum support from security personnel<br />
was therefore essential during<br />
product development. Different assignments<br />
and job rotation have necessitated<br />
a greater system flexibility and the<br />
ability to adjust systems to different<br />
persons. This has been<br />
achieved by providing<br />
an electrical height-adjustment<br />
feature allowing<br />
easy adjustment<br />
and by implementing<br />
an adjustable backsupport<br />
to relieve the<br />
strain on the operator’s<br />
back. The HITraX system<br />
technology with<br />
an entirely new online<br />
image analysis process<br />
is a further contributing<br />
factor. Another asset is<br />
that the new system reduces<br />
screening times<br />
considerably.<br />
By virtue of its advanced technology<br />
and high reliability, ProLine is ideally<br />
tailored to working requirements in<br />
high-security screening areas. About<br />
one quarter of baggage screening systems<br />
from Heimann Systems has been<br />
equipped with these options for ergonomic<br />
working places, and the trend<br />
continues to be positive. Aust concludes<br />
that Heimann Systems has created<br />
a trend-setting system with its new Pro-<br />
Line equipment generation, which was<br />
patented by the German patent office in<br />
Munich on 21 June 2000.
Newsline<br />
David Packard Excellence in Acquisition Award<br />
Innovative cooperation<br />
and cost efficiency<br />
Washington/Zurich/Oberndorf. Oerlikon<br />
Contraves Pyrotec <strong>AG</strong> (OCP) and<br />
Mauser Werke Oberndorf Waffensysteme<br />
GmbH (MWO) along with other<br />
companies have received the 1999 David<br />
Packard Excellence in Acquisition<br />
Award from the US Under Secretary of<br />
Defense for Acquisition, Technology<br />
Advanced amphibious assault vehicle of US Marine Corps.<br />
and Logistics. Christoph Panek (Mauser<br />
Werke), Oskar Brodmann and Allan<br />
Buckley (both from Oerlikon Contraves<br />
Pyrotec) accepted the certificate on<br />
behalf of Rheinmetall DeTec <strong>AG</strong>.<br />
This distinction is awarded once a<br />
year to mark extraordinary acquisition<br />
projects in the defence sector. In 1999,<br />
the award was given for the innovative<br />
cooperation and cost-efficient approach<br />
relating to the procurement of a<br />
new weapon system (gun turret) and<br />
the related ammunition for the advanced<br />
amphibious assault vehicle (AAAV)<br />
of the US Marine Corps. As possible<br />
suppliers of the ammunition, OCP and<br />
Mauser cooperated closely with the responsible<br />
procurement authorities.<br />
Their commitment has not only led to<br />
this award but also resulted in the conclusion<br />
of a contract for the delivery of<br />
the ammunition for test purposes.<br />
The AAAV procurement project was<br />
launched in the early nineties. At that<br />
time, the US Marine<br />
Corps decided<br />
that the existing,<br />
traditional amphibious<br />
vehicles<br />
should be replaced.<br />
One of the<br />
main reasons for<br />
this decision was<br />
that the vehicles<br />
have to be brought<br />
very near to the<br />
shore by the carrier<br />
ship of the US<br />
Navy, a fact which<br />
obviously reduces<br />
the surprise effect<br />
quite considerably<br />
and makes troops<br />
and vehicles far<br />
more susceptible to hostile attacks.<br />
The new AAAV will be launched at a<br />
greater distance where it is not visible<br />
from the shore and can then move on<br />
the water’s surface towards the coastline<br />
at a speed of 30 knots, even in<br />
stormy seas. Once the vehicle has arrived<br />
on shore, it then drives on land<br />
and continues its mission as a conventional<br />
armored assault vehicle. The 33<br />
ton heavy vehicle requires a crew of<br />
three and can transport 18 fully equipped<br />
soldiers. The AAAV trial period of<br />
several years currently taking place also<br />
involves technical ammunition<br />
tests and service trials.<br />
Oerlikon Contraves Pyrotec <strong>AG</strong> and Mauser Werke Oberndorf Waffensysteme<br />
GmbH have proposed this ammunition for the AAAV: a long arrow projectile made<br />
from heavy metal with a driving band integrated in the plastic covering. The projectile<br />
is capable of penetrating solid and special armor of considerable thickness.<br />
21<br />
The Greek army will receive 54 Short<br />
Range Air Defence Systems (Shorad)<br />
from STN Atlas Elektronik GmbH<br />
(Bremen). The system will consist of<br />
the weapon system with entire<br />
opto-electronics as well as the radio<br />
equipment. It will be integrated on<br />
vehicles of the type “Wolf”, to be<br />
built under a license agreement by<br />
the Greek company ELBO.<br />
Shorad systems<br />
for Greek army<br />
Athens/Bremen. The Greek army<br />
will receive 54 Short Range Air Defence<br />
Systems (Shorad) from STN<br />
Atlas Elektronik GmbH. The related<br />
contracts were recently signed with<br />
the Greek Defence Agency (GDA) in<br />
Athens. The order has a total value<br />
of 134 million €. Deliveries are<br />
scheduled to commence in the second<br />
half of the year 2002. The contract<br />
includes a cooperation agreement<br />
with the Greek partner EBO as<br />
well as extensive offset agreements.<br />
The order represents a further<br />
milestone with regard to the<br />
international marketing of the<br />
export variants of the German light<br />
air defence system LeFlaSys which<br />
is being series-produced in Germany.<br />
The Greek systems of the type<br />
ASRAD Hellas (Atlas Short Range<br />
Air Defence) will consist of the weapon<br />
system with the entire opto-electronics<br />
as well as the radio<br />
equipment. It will be integrated on<br />
vehicles of the type “Wolf”, to be<br />
built under a license agreement by<br />
the Greek company ELBO. The order<br />
also covers the training facilities<br />
in form of a classroom simulator<br />
as well as three on-board simulation<br />
systems from the Simulation<br />
Systems division of STN Atlas Elektronik.
Newsline<br />
GM distinction awarded to KS Pistões Ltda.<br />
Brazilian subsidiary<br />
is Supplier of the Year<br />
Detroit/Nova Odessa. High praise<br />
from a competent authority and also a<br />
premiere for <strong>Kolbenschmidt</strong> <strong>Pierburg</strong>’s<br />
piston division: KS Pistões Ltda. in Nova<br />
Odessa, a Brazilian subsidiary of KS<br />
<strong>Kolbenschmidt</strong> GmbH (Neckarsulm),<br />
has received the 1999 Supplier of the<br />
Year award from General Motors Corp.<br />
(GM/Detroit). This prestigious award,<br />
celebrating its eighth consecutive<br />
year, is given annually by the world’s<br />
biggest carmaker to its best global<br />
suppliers in recognition of their superior<br />
performance during the previous<br />
year. KS Pistões – the piston manufacturer<br />
was proposed directly by the GM<br />
subsidiary Opel – received the distinction<br />
for its 1.8 l piston which is delivered<br />
to Opel’s engine plant in Hungary.<br />
Hosting the event, Harold R. Kutner,<br />
group vice president of GM responsible<br />
for worldwide purchasing and<br />
North American production control<br />
and logistics, remarked that KS<br />
Pist_es is “one of<br />
our best and brightest<br />
suppliers. It is<br />
an honor to have<br />
them working with<br />
us. Their contributions<br />
to General<br />
Motor’s overall<br />
success are immeasurable.<br />
We<br />
look upon the Supplier<br />
of the Year<br />
award as an impor-<br />
tant recognition of<br />
their value as an<br />
automotive industry<br />
supplier.”<br />
An assessment<br />
which Rajczy, commercial<br />
director of<br />
KS Pistões Ltda<br />
was proud to confirm:<br />
“This is the<br />
first time that the<br />
Automotive sector’s piston division<br />
has received this highly coveted award<br />
from General Motors. The excellence<br />
of quality, logistics service and cost effectiveness<br />
offered by KS Pistões in<br />
connection with the very intensive<br />
technical and commercial support<br />
Clearly delighted with the award:<br />
Americo Rajczy (c), commercial director<br />
of KS Pistões Ltda. in Nova Odessa<br />
in the federal state of Saõ Paulõ. Shown<br />
with him are Hans H. Demant (l),<br />
executive director international development<br />
center and member of the<br />
executive board of Adam Opel <strong>AG</strong> (l)<br />
and Frank L. Colvin, vice president engineering,<br />
General Motors Europe.<br />
from our headquarters KS <strong>Kolbenschmidt</strong><br />
GmbH in Neckarsulm fulfilled<br />
our customer’s expectations and has<br />
now been recognized by the prestigious<br />
1999 Supplier of the Year award.<br />
We are all proud of this award which,<br />
amongst other things, makes us stand<br />
out in the Brazilian market and motivates<br />
us – and naturally all others, too –<br />
to reach even greater levels of customer<br />
satisfaction.”<br />
The GM Supplier of the Year award<br />
began as a global program in 1992.<br />
Award-winners are selected by a global<br />
team of executives from purchasing,<br />
engineering, manufacturing and<br />
logistics who base their decisions on<br />
supplier performance in quality, service,<br />
technology and price. This year,<br />
General Motors honored 181 suppliers<br />
from 22 countries for their excellence<br />
throughout 1999; thirteen winners were<br />
from Brazil. Commenting on the nomination<br />
which is quite remarkable,<br />
Rajczy pointed out<br />
that “the GM subsidiary<br />
in Brazil<br />
had nominated<br />
twelve local suppliers;<br />
we were the<br />
only Brazilian company<br />
proposed by<br />
Opel.”<br />
KS Pistões Ltda.,<br />
a member of the<br />
<strong>Kolbenschmidt</strong><br />
<strong>Pierburg</strong> group,<br />
has been operating<br />
in Brazil since<br />
1968. The company<br />
which has a<br />
workforce of some<br />
1250 employees<br />
will produce approximately<br />
14 million<br />
pistons this year –<br />
a new record for<br />
the site (+ 18.6 %<br />
compared to 1999). 70 % of the products<br />
are exported to Europe, the USA,<br />
Mexico and Australia. An important<br />
share of KS Pistões’ production is<br />
shipped to companies belonging to<br />
the international General Motors<br />
group.<br />
22<br />
The new C-class of Mercedes-Benz:<br />
<strong>Kolbenschmidt</strong>-<strong>Pierburg</strong> have once<br />
again delivered components and systems<br />
for every aspect of the engine.<br />
Automotive in<br />
new C-class<br />
Stuttgart/Neckarsulm/Neuss. Dynamism<br />
and driving pleasure: these<br />
are the outstanding features of the<br />
C-class automobiles from Mercedes<br />
Benz (which is a member of the<br />
DaimlerChrysler group) – and many<br />
of the components are from <strong>Kolbenschmidt</strong><br />
<strong>Pierburg</strong>. Recently, the new<br />
C-class from Mercedes Benz celebrated<br />
its international premiere after<br />
a development period of four<br />
years and investments totaling approx.<br />
1.36 billion euros.<br />
This also signaled the launch of a<br />
whole package of technical innovations<br />
which the manufacturer<br />
claims are unequalled in this segment<br />
of the market: never before<br />
has such a strong emphasis been<br />
laid on safety and comfort in this<br />
class of automobile; and added to<br />
this, the new C-class guarantees<br />
utmost dynamism and driving pleasure.<br />
One of the partners contributing to<br />
these innovations with its technical<br />
products and technological knowhow<br />
is – once again – the Automotive<br />
sector of the Rheinmetall group.<br />
In fact, the new limousine has a quite<br />
a number of components and modules<br />
from <strong>Kolbenschmidt</strong> <strong>Pierburg</strong><br />
under its bonnet. The ultra-light magnesium<br />
intake manifold for the 6cylinder<br />
engines is delivered by the<br />
air supply division of <strong>Kolbenschmidt</strong><br />
<strong>Pierburg</strong>. The EGR mixing chamber,<br />
the air mass sensor and the new intelligent<br />
electrical drive module<br />
EDM-I all help to reduce pollutant<br />
emissions. The new high-pressure<br />
side channel pump warrants a reliable<br />
supply of fuel even under extreme<br />
driving conditions.
Newsline<br />
Mass deacidification facility inaugurated at Wimmis<br />
Cultural treasures<br />
preserved for the future<br />
Wimmis. The red carpet is rolled out<br />
in Wimmis (in the Bernese Oberland):<br />
On 1 September 2000, the world’s biggest<br />
and most modern mass deacidification<br />
facility for paper was inaugurated<br />
at Nitrochemie Wimmis <strong>AG</strong>, Switzerland.<br />
Persons attending the event<br />
included Ruth Dreifuss from the federal<br />
assembly, officials from libraries<br />
and archives and representatives from<br />
Ruth Dreifuss from the federal assembly discussing the significance<br />
of paper deacidification with Gregor Stockmannn<br />
(r), chairman of the management board of Nitrochemie <strong>AG</strong><br />
and fellow board member Beat Steuri (l).<br />
trade and industry, political and cultural<br />
groups.<br />
Paper which has been manufactured<br />
on an industrial scale since the middle<br />
of the nineteenth century is susceptible<br />
to acid-induced decay owing to<br />
the chemical treatment applied. The<br />
cultural treasures contained in the old<br />
documents and books will decompose<br />
unless they are preserved. In the<br />
course of the last thirty years, libraries<br />
and archives have come to realize that<br />
the problem of acid-induced decay<br />
can no longer be resolved with individual<br />
conservation measures but that a<br />
mass solution to the problem must be<br />
sought. Ultimately, this realization<br />
prompted a joint governmental and<br />
private initiative in Switzerland to preserve<br />
precious cultural assets for future<br />
generations.<br />
Visitors attending the inauguration<br />
at Nitrochemie Wimmis <strong>AG</strong> were offered<br />
a festive program: after the musical<br />
introduction, Gregor Stockmann,<br />
chairman of the management board of<br />
Nitrochemie Wimmis <strong>AG</strong>, welcomed<br />
the guests. In his opening speech, he<br />
pointed out that “working in cooperation<br />
with Nitrochemie <strong>AG</strong>, the Swiss<br />
national library and the Swiss federal<br />
archives joined forces to launch a<br />
trend-setting project to preserve our<br />
cultural assets.”<br />
Emphasizing the significance of<br />
mass deacidification<br />
in Wimmis, Ruth<br />
Dreifuss from the federal<br />
assembly remarked:<br />
“Culture is<br />
to remember. The<br />
decay of paper means<br />
the loss of culture.<br />
The Swiss national<br />
library and Swiss<br />
federal archives alone<br />
have about 3000<br />
tons of documents<br />
endangered by acidinduced<br />
decay.”<br />
To preserve these<br />
documents, the two<br />
organizations launched<br />
a joint project<br />
in 1990 and initiated<br />
the production of a mass deacidification<br />
facility for paper in Switzerland. The<br />
government-owned facility is operated<br />
by Nitrochemie Wimmis <strong>AG</strong> (Wimmis)<br />
which has the necessary know-how<br />
and also has a certified quality and environment<br />
management system. In the<br />
words of Beat Steuri, a board member<br />
alongside Stockmann: “Although originally<br />
a business specializing in mili-<br />
Robert Guyer at the control monitors<br />
of the computer-controlled system.<br />
23<br />
Paper (produced on an industrial scale<br />
since 1850) is prone to acid-induced<br />
decay. Paper deacidification is the only<br />
method to preserve documents.<br />
tary materials, Nitrochemie Wimmis<br />
<strong>AG</strong> also operates in the civil sector<br />
with an emphasis on chemical activities<br />
– a capability that is particularly<br />
important for mass deacidification, especially<br />
regarding the chemistry of cellulose<br />
fiber, the base material used in<br />
paper production.” To attain the high<br />
quality standards demanded by the<br />
national library and federal archives of<br />
Switzerland, the Swiss system was<br />
technically improved, advanced and<br />
extended to include a reconditioning<br />
system (the so-called “papersave<br />
swiss” method).<br />
The facility operating according to<br />
the Battelle method is designed to<br />
handle a capacity of 120 tons per year.<br />
It consists of two treatment chambers,<br />
each with a volume of about ten cubic<br />
meters, the related process technology<br />
and a tank store for storage and<br />
preparation of the chemicals used for<br />
treatment. Depending on the format,<br />
16 to 20 running meters of books or<br />
documents weighing between 450<br />
and 900 kg can be treated in one<br />
batch per treatment chamber. The system<br />
is controlled and monitored by<br />
computers.<br />
The facility which was already taken<br />
into operation in March this year allows<br />
the national library and federal archives<br />
each to have 40 tons of archived<br />
material and books deacidified<br />
every year. In addition to the twothirds<br />
capacity employed by these two<br />
institutions, one third (approximately<br />
40 tons) will be available for public<br />
and private archives in Switzerland<br />
and neighboring countries.<br />
In the opinion of Stockmann, the<br />
“mass deacidification facility is a good<br />
example of a successful public-private<br />
partnership project. This is also reflected<br />
by the five new jobs created at<br />
Nitrochemie Wimmis <strong>AG</strong> as a result of<br />
this project.”
AESTHETIC VIEWS as seen by the<br />
artist. Two prominent German photographers<br />
have once again captured<br />
many surprising effects and artistic<br />
motifs. The photos presenting various<br />
defense products from Rheinmetall<br />
DeTec <strong>AG</strong> and its subsidiaries will be<br />
included in the calendar for the year<br />
2001 and will also be used to visualize<br />
the products of the Defence sector,<br />
especially also within the scope of<br />
international marketing activities.