Heat, dust, significant temperature variations and the risk of explosions. These are the extreme conditions facing oil and gas producers in the desert to secure our energy supply. Hence, the security and protection of efficient plants are of ever increasing importance. Over the last few years, Funkwerk AG has made a name for itself in this field. As a result, the German technology group has now been awarded the third major contract from Algeria for the installation and commissioning of a security system for property protection.

Based in the Thuringian town of Kölleda, the high-tech company has been commissioned by the biggest Algerian oil and gas company as the general contractor responsible for the planning and turnkey supply of an electronic security system for property protection. The project involves the provision of equipment for intrusion protection, access control and management, and video monitoring. The contract will generate a total of around 30 mill. Euro for Funkwerk and run for 18 months.

“This new reference project underlines our position as a technology leader and preferred supplier of electronic security systems for the oil and gas industry. In a market growing at an above-average rate, our chances of receiving further orders even from other countries are excellent,” said Funkwerk CEO Dr. Hans Grundner, summarising the significance of this new contract.

Technology leader – excellent prospects for further international contracts
Funkwerk already has many years of experience in similar projects. On numerous occasions, the company proved its proficiency in the special technology required for explosion and dust proof systems. “This sets us apart from other suppliers and gives us a significant competitive edge. It puts our company in a good position to win further contracts in major international tenders for security systems for property protection in the medium term,” explained Dr. Grundner.

The work for the large-scale project in Algeria is due to start as early as in the fourth quarter of 2008, with the lion’s share of the contract affecting sales and net income in 2009. The core of the security solution will be a combined access control and video monitoring system. Integrated into a management system, it allows central monitoring even of sprawling grounds. The transmission of pictures in real time together with video detection and integrated alarm management facilitates prompt and appropriate action in any situation. This ensures early detection and prevention of potentially dangerous situations or process interference and thus increases the safety and security of man and technology.

Funkwerk has already met similarly complex requirements for banks, authorities, motorways, railways, airports, ships, other means of transport, and public facilities and places.

Further information on Funkwerk AG:
Based in Kölleda near Erfurt, Funkwerk AG develops, produces and markets professional communication systems used in vehicles, transport and other companies and institutions. With its four segments Traffic & Control Communication (communication, management and information systems for transport and industry), Automotive Communication (communication equipment for vehicles), Enterprise Communication (network and telecommunication solutions for companies), and Security Communication (personal security, messaging systems, video monitoring, property protection), Funkwerk occupies a strategically excellent position in future markets. With over 1,600 employees, the Funkwerk group generates sales of over 300 mill. Euro.

For further information contact

Funkwerk AG  Im Funkwerk 5  99625 Kölleda/Thuringia  Germany  Jörg Reichenbach  Investor Relations  Telephone: 0 36 35/6 00 -3 46     Fax: 0 36 35/6 00 -3 99  reichenbach@funkwerk.com

rw konzept GmbH  Emil-Riedel-Straße 18  80538 Munich  Germany  Sebastian Brunner  Tel: 0 89/13 95 96 -33  Fax: 0 89/13 95 96 -34  Mobile: 01 72/8 84 10 15       brunner@rw-konzept.de