Rogers Announces Agreement To Acquire Curamkin Electronis (ROG)

Rogers Corporation Announces Agreement to Acquire Curamik Electronics GmbH Conference Call to Discuss Announcement Today at 4:00pm ES On December 31, 2010, Rogers Corporation ROG signed a definitive agreement to acquire 100% of the stock of Curamik Electronics GmbH, a manufacturer of power electronic substrate products headquartered in Eschenbach, Germany, for EUR116 million (subject to closing adjustments). The acquisition will be financed through a combination of borrowings under existing bank credit facilities and cash and is expected to close this week. Curamik, founded in 1983, is the worldwide leader for development and production of direct copper bonded (DCB) ceramic substrate products used in the design of intelligent power management devices, such as Insulated Gate Bipolar Transistor (IGBT) modules. These devices enable a wide range of products including highly efficient industrial motor drives, wind and solar energy converters and hybrid electric vehicle drive systems. Most of Curamik's products are manufactured using state-of-the-art automated processes in its facility located in Eschenbach, Germany. Robert C. Daigle, Rogers' Senior Vice President and Chief Technology Officer commented; "This is an exciting acquisition for Rogers. Curamik is a recognized market-leader in power electronic substrate products for the sustainable energy market. This acquisition is a significant complement to our existing power electronic product portfolio, which includes our Power Distribution Systems and Thermal Management Solutions businesses". Rogers' current strategy includes targeting three key strategic markets to drive its future success: sustainable energy, the internet, and mass transit. This acquisition is part of the Company's plan to add new growth platforms in these targeted strategic markets as over 90% of Curamik's sales serve these markets with the majority in the high growth sustainable energy market, primarily in Europe. Rogers expects to be able to significantly increase Curamik's presence in both North America and Asia through Rogers' existing infrastructure. Robert D. Wachob, Rogers' President and Chief Executive Officer commented; "Curamik fits Rogers' strategy very well as they are both the market and technology leader in power electronic substrate products. I currently expect Curamik to add $115 to $125 million in sales and $0.20 to $0.30 in net earnings per diluted share to our results in 2011 and to provide significant opportunities for future growth as the markets Curamik participates in are projected to grow at approximately a 15% rate over the next several years". Rogers' management will host a conference call today, Monday, January 3, 2011 at 4:00pm EST to discuss this announcement. To participate in the teleconference please call 1-800-574-8929 toll free in the U.S. or 1-973-935-8524 from outside the U.S. There is no pass code for the teleconference. For interested parties who do not wish to ask questions, the call is being webcast live by Thomson Reuters and may be accessed through the Rogers website at http://www.rogerscorp.com/ir.