Customers to benefit from strong technology heritage and new investments TORONTO, Oct. 3 /CNW/ - Celestica Inc. (NYSE, TSX: CLS), a world leader in electronics manufacturing services (EMS), today announced it has sold its Vimercate, Italy operations to Bartolini Progetti S.p.A., and entered into a strategic alliance with the firm to provide certain EMS, after-market, new product introduction and support services on a subcontract basis. Bartolini Progetti S.p.A. is an Italy-based logistics and after-market services provider. The agreement is in line with Celestica's strategy to shift the majority of its production to lower-cost regions, while maintaining a strategic presence in higher-cost regions throughout the Americas, Europe and Asia. Customers of the Vimercate, Italy site will continue to be supported out of the site, with services provided by Bartolini Progetti S.p.A., either directly or under a subcontract agreement with Celestica. This arrangement will provide Celestica with continuing capacity and service capability in Italy for ongoing customer support, complementing the company's end-to-end supply chain solutions in Eastern Europe. Bartolini Progetti S.p.A. will engage in a re-industrialization of the Vimercate operation, which will maintain the site's industry leading technology and business skills. This will also lead to an enhancement of the operation by offering new services to customers. "Celestica is committed to having the right balance of capability, skills and capacity to best serve our global customers," said Steve Delaney, Chief Executive Officer, Celestica. "This strategy is supported and enhanced through the strengths of our business partners, such as Bartolini Progetti S.p.A. We are very pleased to be entering into this alliance with the Bartolini team." Through the agreement, approximately 850 employees currently employed by Celestica in Vimercate will continue their employment with the existing Italian entities, now subsidiaries of Bartolini Progetti S.p.A. For further information on Bartolini, visit its website at: http://www.bartolini.it/home.asp. About Celestica --------------- Celestica is a world leader in the delivery of electronics manufacturing services (EMS). Celestica operates a global manufacturing network with operations in Asia, Europe and the Americas, providing a broad range of integrated services and solutions to leading OEMs (original equipment manufacturers). For further information on Celestica, visit its website at www.celestica.com. The company's security filings can also be accessed at www.sedar.com and www.sec.gov. Safe Harbour and Fair Disclosure Statement ------------------------------------------ This news release contains forward-looking statements related to our future growth, trends in our industry and our financial and operational results and performance that are based on current expectations, forecasts and assumptions involving risks and uncertainties that could cause actual outcomes and results to differ materially. These risks and uncertainties include, but are not limited to: the challenges of effectively managing our operations during uncertain economic conditions; the challenge of responding to lower-than-expected customer demand; the effects of price competition and other business and competitive factors generally affecting the EMS industry; our dependence on the computer and communications industries; our dependence on a limited number of customers and on industries affected by rapid technological change; component constraints; variability of operating results among periods; and the ability to manage expansion, consolidation and the integration of acquired businesses. These and other risks and uncertainties and factors are discussed in the Company's various public filings at www.sedar.com and http://www.sec.gov, including our Annual Report on Form 20-F and subsequent reports on Form 6-K filed with the Securities and Exchange Commission. We disclaim any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. In the Company's best judgement, the events noted in this press release on a stand-alone basis are not expected to be material to Celestica's overall financial results. %SEDAR: 00010284E