BE Group initiates negotiations on personnel reductions to strengthen competitiveness

With the aim of strengthening the Group´s competitiveness, the steel service
company BE Group will initiate negotiations on personnel reductions within the
Group's operations in Sweden and Finland.

The number of employees is expected to be reduced by a total of approximately
140 full-time positions. In Sweden some 75 persons will be given notice. Within
the Finnish operations, negotiations will simultaneously commence to reduce the
number of employees by about 60, but also to enable future layoffs. Within the
Group's operations in other markets, the proposal indicates only limited
reductions.

“2012 has been a difficult year for Swedish and Finnish industry,” comments BE
Group's President and CEO Kimmo Väkiparta. “This has spilled over into the
supplier chain with reduced delivery volumes as a consequence. The prospects for
the future are still hard to judge, and thus we see a need to adapt the Group’s
operations to the current situation. It is unfortunate when this affects our
employees, but we strive to find them the best possible solution.”

The proposed measures will yield annual cost reductions of 65 MSEK and are
forecast to gradually begin having an effect in the second quarter of 2013. One
-time costs are estimated at 30-35 MSEK and these costs will be taken in the
first quarter of 2013, while the cash flow will mainly be affected during the
second and third quarters.

“Despite the difficulties during last year we have a strong market position
within our segment in Sweden and Finland, and are working continuously to
strengthen our product and service offerings. With reduced costs we see great
opportunities to create new solutions for our customers and win market share,”
concludes Kimmo Väkiparta.

For further information, please contact:
Kimmo Väkiparta, President and CEO
tel: +46 (0)705 97 23 42  e-mail: kimmo.vakiparta@begroup.com

BE Group, listed on the NASDAQ OMX Stockholm exchange, is a trading and service
company in steel and other metals. BE Group provides various forms of service
for steel, stainless steel and aluminium applications to customers primarily in
the construction and engineering sectors. In 2011, the Group reported sales of
SEK 5.9 Bn. At year-end 2012, BE Group had approximately 900 employees in nine
countries, with Sweden and Finland as its largest markets. The head office is
located in Malmö, Sweden. Read more about BE Group at www.begroup.com.