Agreement Reached on BSH Berlin-Gartenfeld Site Apr 8, 2010

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BSH Bosch und Siemens Hausgeräte GmbH will keep its Berlin-Gartenfeld washing machine plant open beyond its contracted end-date of July 31, 2010. Production will continue at the plant until June 30, 2012 as the result of negotiations between BSH management and labor representatives. The site will then be used for a new technology center, which is anticipated to keep 500 jobs in Berlin that would otherwise have been lost.

BSH and labor representatives originally reached an agreement to safeguard the manufacturing operations at the site in 2006. At that time the unprofitable manufacturing operations were reduced by more than 50%. The 2006 safeguard agreement was to expire on July 31, 2010.

In 2009, new negotiations began and on Mar. 15, 2010, the management and labor representatives and the collective bargaining parties agreed via arbitration to end production of washing machines at Berlin-Gartenfeld by June 30, 2012.

BSH agreed to a social compensation plan for the 270 employees who will be affected by the shut-down and agreed to relocate the roughly 550 research and development, IT, and service employees who are not affected by the shutdown to a new location, which will keep these jobs in Berlin.

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