Tognum Ag News

Rolls-Royce today announced the completion of its acquisition of Rolls-Royce Power Systems (RRPS). The move follows an announcement made on March 7, 2014 that the Board of Management of Daimler AG had decided to exercise the put option relating to its 50% equity interest in RRPS and the announcement on April 16, 2014 that Rolls-Royce and Daimler had agreed on a fair market valuation for the shareholding of €2.43 billion. John Rishton, CEO of Rolls-Royce said, “We are pleased to welcome Rolls-Royce Power Systems fully into Rolls-Royce.

Rolls-Royce Power Systems AG has been confirmed as one of Germany´s most attractive employers. The company has received awards for its exemplary HR management policies and for the outstanding benefits it offers employees. Over recent years, the prestigious Top Employers Institute awarded RRPS predecessor Tognum AG its ´Top Employer, Engineering´ seal of excellence four times and conferred the `Top Employer, Germany´ title three times. The Top Employers Institute recognizes leading employers worldwide who offer outstanding working conditions. This year, in addition to Rolls-Royce Power Systems AG, the `Top Employer, Engineering 2014´ award will go to 25 other companies in Germany.

Effective immediately, the former Tognum AG will now operate under the name of Rolls-Royce Power Systems AG. Since March 2013, the specialist for large engines, propulsion systems and distributed energy systems has been a wholly-owned subsidiary of Rolls-Royce plc and Daimler AG, each of which has a 50% shareholding in the company via a joint venture. The group of companies with MTU Friedrichshafen GmbH as the core company has been consolidated in the Rolls-Royce Group’s results since the beginning of 2013.

Name change aligns corporate name with primary product brands MTU and MTU Onsite Energy; German holding company Tognum AG renamed Rolls-Royce Power Systems AG. Effective immediately, Tognum America Inc. has changed its name to MTU America Inc. Based in Novi, Mich., the company is responsible for the manufacture, development, sales and service of MTU engines, propulsion and drive systems and MTU Onsite Energy distributed energy systems in North and Latin America. The company also maintains manufacturing facilities in Aiken, S.C. and Mankato, Minn.

Rolls-Royce has appointed John Knudsen as President - Offshore, in its Marine business. Knudsen will transition into his new role through January 2014. Mr. Knudsen is currently President of Bergen Engines AS. He has had a key role in transforming Bergen Engines during the divestment from Rolls-Royce Marine and integrating it into the Tognum Group. Tognum AG is a joint venture of Rolls-Royce and Daimler. John Knudsen joined Rolls-Royce in 2007 and has previously held senior positions in the Norwegian telecom equipment supplier Nera ASA.

The name ‘MTU Reman Technologies’ might be new in the city of Magdeburg, Germany, but behind the Tognum subsidiary that remanufactures large diesel engines lies 175 years of industrial history. On September 6 and 7, MTU Reman Technologies celebrated this anniversary, by holding a special ceremony and opening its doors to the public. Hartmut Möllring, Minister of Science and Economic Affairs in the federal state of Saxony-Anhalt, pointed out: “Machinery and plant engineering have very deep roots in Magdeburg.

As announced in April, Dr Ulrich Dohle today takes up his new duties as Chairman of the Executive Board and CEO of Tognum AG. He succeeds Joachim Coers, who has left the company after nine years at his own request. In his new role, Dr Dohle will not only take on the typical duties of a CEO, such as corporate communication and strategy, but will also be responsible for R&D and quality management. In April, the Supervisory Board extended Dr Dohle's contract until December 31, 2015. He has been on the Executive Board of Tognum AG since 2009, previously holding the position of deputy CEO and CTO. One priority of the Executive Board's work will be to expand operations worldwide. At the same time, cooperation with Rolls-Royce and Daimler is to be intensified.

As of today, July 1, Norwegian engine manufacturer Bergen Engines AS becomes part of the Tognum Group. Following the acquisition of Tognum AG by the joint venture of Rolls-Royce plc. and Daimler AG, the former Rolls-Royce subsidiary Bergen Engines was merged into the Tognum Group. With that Tognum, the propulsion and power solution specialist, adds medium-speed diesel and gas engines with power outputs up to 10 MW to its engine portfolio. Tognum supplies high-speed diesel and gas engines carrying the MTU brand with power ranges of 75 to 10,000kW and 100-2,150kW respectively.

Tognum has agreed to the building of a public path running between its MTU plant in the Friedrichshafen district of Manzell and the shore of Lake Constance. A contract to that effect has been signed  by Joachim Coers, CEO of Tognum and managing director of MTU; Andreas Brand, Lord Mayor of Friedrichshafen; and Lothar Heissel, chief architect from the regional administrative authority (Präsidium) in Tübingen. With its signature, MTU Friedrichshafen allows Friedrichshafen City Council to build the path directly in front of the MTU Plant 2 site.

The Chairman of the Executive Board & CEO of Tognum AG, Joachim Coers, to hand over to Dr. Ulrich Dohle from July 1st, 2013. The Supervisory Board of Tognum AG regretted the decision taken by Coers, which they have accepted, and thanked him for his exceptional dedication and commitment in the past nine years. In its meeting on April 19th, the Supervisory Board elected Dr. Dohle unanimous as new Chairman of the Executive Board and CEO of Tognum AG and at the same time extended his contract to 31 December 2015. Joachim Coers joined what was then MTU Friedrichshafen in 2004.

2012-2014: Investment of more than one billion euros in plant expansion and R&D; Publication of Annual Report 2012 announced. The specialist for propulsion and power solutions Tognum intends to invest more than one billion euros by the end of 2014. This amount exceeds the volume that Tognum specified in a cornerstone paper together with Daimler AG and Rolls-Royce plc two years ago. Approximately €600 million of the total investment will flow into each of research and development and long-term capital expenditure.

Specialist for propulsion and power solutions, Tognum AG, has achieved its revenue and profit targets for the full year 2012. Revenues increased slightly last year by 1.4% as expected to €3.015 billion (2011: €2.97 billion). With an adjusted EBIT of €296 million, the adjusted EBIT margin was at 9.8% (2011: 11.6%). In August of last year, Tognum specified its forecast for the full year 2012. The company subsequently announced that it anticipated growth in revenues in the lower single-digit percentage range, with an adjusted EBIT margin of around ten per cent. “Following a successful start to 2012, a cooling global economic environment was noticeable around the middle of the year,” states Joachim Coers, CEO of Tognum AG.

Jörg Schwitalla will be the new Executive Board member for Personnel and Integrity at Tognum AG as of 1 January 2013. Tognum has created the new position on the Executive Board on the one hand to meet future requirements – such as the planned integration of Bergen Engines AS and the group’s growth targets – and on the other hand to achieve the aim of bringing the Personnel, Legal Affairs and Compliance divisions closer together and to underline the growing importance of ethics in corporate management.

Propulsion & power providers Tognum confirm 2012 forecast in financial report ended 30, September. The adjusted EBIT margin is expected to be at around ten per cent by the end of the year, while the company expects to see revenue growth in the lower single-digit percentage range. “The global economy cooled down further in the third quarter. As a result of our good order backlog, however, we are aiming for a fourth quarter slightly above last year’s level and therefore, from today’s perspective, we confirm our revenue and profit targets,” explained Joachim Coers, CEO of Tognum AG. Order intake at the end of the first nine months of the year was on a solid level at €2,296.3 million (Q1-Q3 2011: €2,382.3 million).

Tognum has recently concluded an agreement with a bank consortium for a revolving credit line of €300 million. The credit line has a term of five years. In addition to Commerzbank as the coordinator, seven other banks are involved. Tognum will redeem the consortium financing that was agreed during the IPO in 2007 accordingly in the next few days. In the last few months, Tognum also received loans totalling €200 million for research projects from the European Investment Bank (EIB). In addition, KfW IPEX-Bank will finance R&D activities amounting to €50 million. The contract was signed quite recently. “Tognum was able to secure the currently favourable interest rate for a long-term basic financing agreement,” explains Dieter Royal, CFO of Tognum AG.

Tognum adjusts its forecast at end of the first half-year 2012, anticipating growth in revenues in the lower single-digits. The company now anticipates growth in revenues in the lower single-digit percentage range and thus remains within the current forecast corridor. The adjusted return on sales is expected to be around ten per cent by the end of the year. Tognum had previously assumed it would achieve an adjusted return on sales of over ten per cent. “The macro-economic prospects for the financial year deteriorated significantly in the course of the second quarter. We nevertheless expect to generate higher revenues in the second half of the year than in the first half,” says Joachim Coers, CEO of Tognum AG.

The first delivery comprises twelve MTU 16V 4000 M63 engines destined for Camorim, the Brazilian shipping company. Twin MTU engines will be used to power Rolls-Royce propeller-rudder systems on a total of six tug boats. Each engine in this order delivers power of 2,000kW, and its value lies at some three million euros to Tognum. The tug vessels will mainly be used in offshore oil production operations carried out by Petrobas, the petroleum producer in Rio de Janeiro/Macae. The second order is from Fjellstrand, the Norwegian shipyard. Four marine gensets based on MTU 16V 4000 M23S engines, each with a power output of 1,840kW, will be used to propel a multi-purpose offshore vessel operated by Norside Supporter AS. The engines back up the Rolls-Royce propellers and automation system.

Representatives of Tognum America Inc., a subsidiary of Tognum AG, were invited to meet with representatives of the White House and the U.S. Department of Education, to discuss a planned apprenticeship program for high school students in Aiken County, S.C. The event was designed to be a roundtable discussion of ideas regarding programs aimed at improving education and helping more young Americans gain vocational training and enter the workforce without a college degree. Known for its technological expertise in the area of power and propulsions systems, Tognum has now added an education program to its portfolio through a new program that will kick off this fall at its MTU Aiken Plant.

Tognum, at the end of the first quarter, has confirmed its forecast for the full-year 2012. The company continues to expect a single-digit percentage growth in revenues and an adjusted return on sales of over ten per cent. “As a result of an order backlog that remains strong at over two billion euros, we are confident that we will achieve our targets for the 2012 financial year,” said Joachim Coers, CEO of Tognum AG. The order intake in the first three months of 2012 was solid at €771.5 million (Q1 2011: €817.9 million). Revenues were up 3.6% compared with the same quarter last year to €685.3 million (Q1 2011: €661.4 million). The adjusted EBIT was down 5.8% to €67.7 million (Q1 2011: €71.9 million). The decline results primarily from a scheduled increase in R&D expenditure.

Effective 1 July 2012, Dr. Michael Haidinger (51) is to be the new member of the Executive Board of Tognum AG responsible for sales. This was decided by the company’s Supervisory Board at its meeting yesterday evening unanimously. He succeeds Peter Kneipp (52), who left the Executive Board at the end of February 2012 by mutual agreement to pursue a new professional challenge. Dr. Haidinger is currently President of Rolls-Royce Deutschland and a member of the Supervisory Board of Tognum AG.

Tognum has picked up the accolade ‘Top Engineering Employer’ for the fourth time running. It also won the seal of quality ‘Top Employer in Germany’ for the third time. This year, a total of 34 companies in Germany were named the most attractive engineering employers, and a total of 118 qualified for the ‘Top Employer in Germany 2012’ category. As ‘Top Employer in Germany 2012’ and ‘Top Engineering Employer’, Tognum gained the highest grade for its attractive financial benefits such as salary and pension schemes.

Specialist manufacturer of propulsion and power systems, Tognum, has received the approval of the competition authorities for the takeover of the Bavarian manufacturer of power generator sets Aggretech. This means that 75.1 per cent of the shares in Aggretech will be transferred to Tognum this week. It is planned that the new Tognum subsidiary will be renamed to MTU Onsite Energy Systems GmbH. The Board of Management of Aggretech and later Managing Directors of the new company will be Hubert Diener as Chairman and Stephan Hoffmann. Hubert Diener was previously the Head of the Special Production Department at Tognum’s subsidiary MTU Friedrichshafen and Stefan Hoffmann was CFO of Aggretech.

Diesel engine propulsion and power manufacturerTognum, will expand its Aiken Plant for MTU engines and add 20 new jobs over the next two years. The $40 million expansion project is made possible in part by the support of Aiken County, S.C. and the State of South Carolina. Expansion plans for the MTU Aiken Plant include two new research and development buildings that will house new engine test equipment, as well as additional visitor and employee parking areas. Construction has already begun, and Tognum America Inc., an American subsidiary of Tognum AG, expects to complete the new facilities by the end of this year. The investment follows Tognum’s initial commitment of $45 million in plant renovations and expansion…