Press

• Revenue in the CIS countries reaches 770 million euros
• Bosch demonstrates growth and strong innovative capacity in anticipation of its 125th anniversary
• Automotive technology and power tools are the main growth drivers

The business development of the Bosch Group in the CIS countries confirmed the previous growth forecasts in all business sectors. The global supplier of technology and services has been able to overcome the effects of the economic crisis earlier than expected also in the CIS. “The positive development achieved in 2010 is a result of the strong market position, competitive advantages and innovative potential of our company on the eve of the 125th anniversary of its founding, which we celebrate this year,” said Rene Schlegel, Bosch Group representative in Russia, Ukraine, Belarus and Kazakhstan.

Bosch's total sales on the CIS markets in fiscal year 2010 increased 37 percent year-over-year, reaching 770 million euros. The Russian share of the total was 667 million euros, an increase of 36 percent. Ukraine showed a 12 percent growth to 49 million euros, while sales in Belarus more than doubled to 44 million euros. Bosch revenue in Kazakhstan, Central Asia and Caucasus rose by over 50 percent, reaching 10 million euros.

Total investment in the CIS increased by 13 percent to 18 million euros in 2010. Also the company's staff is growing again. Per 1st January 2011 the headcount was 2,830 employees, almost 13 percent more than one year before. In 2,425 people are employed in Russia, representing an increase of nearly 300 year-over-year. Headcount in Ukraine grew by about 20 to 330, while in Belarus and Kazakhstan, the number of employees remained unchanged. In 2011, the total number of associates in the region is expected to grow by approx. 400.

The new Russian headquarters, from which activities for Russia and CIS coun¬tries will be coordinated, is under construction. Bosch plans to invest more than 100 million euros in the project by 2013. The new buildings will have a total usable area of 57,000 square meters and will be ready for some 700 Bosch associates to move in by mid-2013.

The automotive industry has overcome the crisis
Automotive technology remains the largest business unit at Bosch in Russia. The main drivers of growth are gasoline, diesel and vehicle safety systems. In the aftermarket segment, Bosch is focusing on brake-system components.

In 2011, the company will continue to develop and market costeffective and environmentally friendly diesel technology, as well as active automotive safety systems. The extension until the end of the year of the utilization program for private vehicles in Russia and the possible adoption of a such a program for the country's commercial fleet provides additional incentive for the development of the sector. Due to changes in legislation concerning the further localization of the auto industry, production is expected to increase, which will lead to growth in the volume of auto parts, also from local manufacturing.

In 2010, OAO Robert Bosch Saratov launched a project to establish a production line for assembly of inline pumps – the first step towards localization of the production of Bosch diesel components in Russia. Production started in January of 2011. Bosch Saratov produces a wide range of spark plugs, and in 2010, started production of new types of wiring harnesses. In 2011, Bosch plans to launch production of submersible fuel pumps in
Russia.

Europe's largest Bosch Car Service is in Russia
A growing vehicle fleet increases the importance of auto service centers that provide professional and comprehensive services for all car brands. Bosch Car Service is the world's largest network of independent service centers, with more than 14,500 franchisees in 142 countries. As of 2010, about 430 Bosch Car Service stations were active in the CIS countries. August 2010 saw the official opening of Moskva-City, the largest Bosch Car Service facility in Europe, designed for daily maintenance of over 120 cars.

Consumer goods: Out of the crisis with renewed vigor
Power tools sales in the region increased in 2010. Bosch, a leader in lithium-ion cordless tools, launched the first compact semiautomatic rechargeable lithium-ion drill/driver. OOO Bosch Power Tools in Engels, Saratov region is a platform for the production of the latest Bosch Power Tools. In 2010, the company manufactured one million units. The plant supplies up to 70 percent of its output to Western Europe – the company was recognized as Best Exporter of the Saratov Region in 2010.

OOO BSH Home Appliances in the Leningrad region expanded its product range and launched a new generation of appliances in 2010. The company's Strelna plant started production of Bosch narrow washing machines and a new range of refrigerators. The plant started exporting refrigerators to Belarus in 2010. This year, a second refrigerator production line reached full capacity of 500,000 units per year, and construction of a new washing machine plant is scheduled to be completed in mid-2011, with production startup scheduled for mid-2012.

Building Technology: An emphasis on energy efficiency and security
The market for security technologies is growing. In 2011 the Bosch Security Systems division Bosch Communication Center plans to expand its range of services by establishing a new communication center in Kazan, Russia. Approximately 50 employees will start to work this year. Bosch currently has 21 such centers around the globe. Furthermore a new industrial park in the Tomsk special economic zone will be equipped with comprehensive and modern security systems by Bosch.

OOO Buderus Heating Technology could improve its position in the market for industrial boilers. In 2011, the company plans to expand its regional presence in Russia by opening three new branches in Kirov, Chelyabinsk and Vladivostok in addition to the existing 22. Among the company's top priorities is promoting equipment using condensation and renewable energy.

One of the leading manufacturers of automation and control systems, OOO Bosch Rexroth has also been able to improve its market position. The company has ten regional offices in operation to date. Among its projects in 2010 is the central power plant for SKF in Tver, modernization of shaft kilns at OEMK and the hydraulic rig at Rudgormash. From June 2010 to March 2011 the company carried out phased reconstruction of the circus building in Minsk.

Press contact:
Julia Golubtsova
Tel.:  +7 495 937-04-02   
Fax: +7 495 935-71-99   
e-mail: julia.golubtsova@ru.bosch.com 

26 May, 2011