* 3.0 litre V6 diesel engine with Compacted Graphite Iron cylinder block and bedplate * Cylinder block production underway at the Tupy foundry in Brazil * Engine to be available in 2011 Model Year vehicles in Europe [Joinville and Stockholm, 1 October 2010] - Independent engine manufacturer, VM Motori SpA of Italy has awarded the Tupy foundry of Brazil, the world's leading CGI producer, a series production contract for the cylinder block and bedplate of its new 3.0 litre V6 diesel engine. The CGI cylinder blocks and bedplates began series production at the Tupy Joinville foundry during mid-2010 using the SinterCast process control technology. Following pre-machining of the cylinder blocks and bedplates at Tupy, final machining and engine assembly is performed in a purpose-built manufacturing facility at VM Motori in Cento, Italy. The Euro 5 compliant engine is capable of 240 horsepower (59 kW/litre) and 550 Nm of torque and will be available in the 2011 model year vehicles in the European market. "The launch of VM Motori's first CGI engine reinforces the benefits of CGI for high performance and fuel efficient diesel engines and further increases Tupy's leadership position for CGI casting and machining" said Mr Luiz Tarquínio, President and C.E.O. of Tupy. "The new V6 cylinder block and bedplate represent Tupy's sixteenth and seventeenth CGI components to be launched into series production, while VM Motori becomes Tupy's seventh CGI customer. Tupy remains committed to leading the global trend toward CGI cylinder blocks and heads." "The VM Motori engine confirms that CGI has become the standard material for passenger vehicle V-diesel engines, providing the best combination of lightweight and compact design, performance, NVH, durability and environmental efficiency" said Dr. Steve Dawson, President & CEO of SinterCast. "Together with Tupy, we are pleased to have been the development partner for VM Motori on this project and look forward to supporting the series production of this state-of-the-art engine." Mr. Luiz Tarquínio S. Ferro Dr. Steve Dawson President and C.E.O. President & CEO Tupy S.A. SinterCast AB (publ) Tel: +55 47 441 8181 Tel: +46 8 660 7750 e-mail: tarquinio@tupy.com.br e-mail: steve.dawson@sintercast.com Located in southern Brazil, Tupy has more than 7,500 employees and a production capacity of 500,000 tonnes per year of cast iron components in its two manufacturing facilities located in Joinville, State of Santa Catarina and Mauá, State of São Paulo. With sales and engineering offices located in Brazil, United States, Germany, Mexico and Japan, Tupy's main customers include Chrysler, Cummins, Daimler, Ford, General Motors, Volkswagen, Audi, Perkins, International Truck and Engine, Mack Trucks, MAN, Diesel, Iveco, Kubota, John Deere, Bosch, Ambrake, Peugeot and many other premier automotive and diesel engine manufacturers. For more information: www.tupy.com.br SinterCast is the world's leading supplier of process control technology for the reliable high volume production of Compacted Graphite Iron (CGI). With at least 75% higher tensile strength, 45% higher stiffness and approximately double the fatigue strength of conventional grey cast iron and aluminium, CGI allows engine designers to improve performance, fuel economy and durability while reducing engine weight, noise and emissions. SinterCast produces a variety of CGI components ranging from 2 kg to 17 tonnes, all using the same proven process control technology. The end-users of SinterCast-CGI components include Aston Martin, Audi, Caterpillar, Chrysler, DAF Trucks, Ford, Ford-Otosan, General Electric Transportation Systems, General Motors, Hyundai, Navistar, Jaguar, Kia, Land Rover, MAN, MAN Diesel, Porsche, PSA Peugeot-Citroën, Renault, Rolls-Royce Power Engineering, Toyota, Volkswagen, Volvo and Waukesha Engine. The SinterCast share is quoted on the Small Cap segment of the Nordic Exchange, Stockholm (Stockholmsbörsen: SINT). For more information: www.sintercast.com - END - [HUG#1448187]