Subsidiary's Acquisition of Hitech Metallurgical

Bodycote International PLC 10 March 2000 For further information, please contact: John Chesworth, Managing Director David Landless, Finance Director Bodycote International plc Tel: 01625 505300 Edward Bridges/Scott Fulton Financial Dynamics Tel: 0171 831 3113 Bodycote International plc Bodycote acquires Hitech Metallurgical Co. Bodycote International plc, the international metal processing group, announces the acquisition by its North American subsidiary, Bodycote North America Inc., of the whole of the issued share capital of Kenneth H. Holko, Inc. trading as Hitech Metallurgical Co. ('Hitech') of San Diego, California. Hitech provides brazing, coating, heat treating, precision welding services and component fabrication. The company serves primarily the medical, dental, semiconductor, computer, and electronics industries. Mr Ken Holko, PE, Hitech's former owner, is an internationally recognised metallurgical expert that holds medical coating and joining patents. Mr. Holko will join Bodycote with responsibility for the San Diego operation. Consideration for the purchase was US$ 2.5 million (£1.6 million), paid in cash. Hitech's sales for the year ended 30 September 1999 amounted to US$1.75 million (£1.1 million), and earnings before interest and tax, on an ongoing basis, were US$462,000 (£293,000), and net assets acquired were US$374,000 (£237,000). The acquisition broadens Bodycote's brazing, coating and assembly services and expertise offered in strategic North American markets.

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