FKI PLC – Austrian Post Contract Win

FKI Logistex wins #8.4 million Austrian Post Contract

FKI Logistex, a global leader in automated material handling solutions and part
of FKI plc, announces that its FKI Logistex Crisplant operation has won a
contract from Austrian Post (Osterreichische Post AG) for a distribution and
sorting system valued at 13.45 million euros (#8.4 million). The system will be
installed in a new mail distribution centre ("Briefzentrum Ost") in Vienna. The
scheduled handover date is August 2002.

The Austrian Post contract comprises the installation and commissioning of two
Crisplant S-3000 CB Cross Belt sorters and additional conveyor systems designed
for both traditional and irregular postal sortation. The Crisplant S-3000 CB is
designed for situations where the ability to sort at high-speed a wide
variation of items, including very difficult items, is required.

The FKI Logistex Crisplant design is a totally integrated system, which
includes software that allows the S-3000 CB control systems to communicate
precise sortation information directly to Austrian Post's main servers and to
interface with the Oracle address database.

FKI Logistex Crisplant won the public contract by meeting or exceeding the
stringent requirements laid out in the Austrian "best bidder principle"
regulations.

Dave Martin, President of FKI Logistex, commented:

"The contract with Austrian Post is another strategic win for the FKI Logistex
freight and parcel team as it builds on its reputation for proven and reliable
integrated postal systems and support projects.

This important win follows the contract with Germany's Deutsche Post for the
installation of Crisplant's Parcel Mate automated parcel handling equipment.
These contracts confirm our position as market leader in postal sortation
systems, through our superior technologies and provision of reliable systems."

Further enquiries:
Bob Beeston, Chief Executive FKI plc 020 7832 0000
John Biles, Finance Director FKI plc 020 7832 0000
Dave Martin, President FKI Logistex 001 859 236 9475
Kate Holgate/Simon Sporborg Brunswick Group Ltd 020 7404 5959

Notes to Editors

Further details on the contract

The Vienna facility is designed as a centralised mail processing and
distribution centre. FKI Logistex Crisplant's solution for Austrian Post
includes an integrated Tray Management System for the transport and
distribution of letter trays. Mail is tracked from entering the system through
various letter-sorting processes before being conducted to letter trays which
are sorted by shipping destinations.

The Crisplant S-3000 CB sorts trays on the cross belt sorter into three streams
at a rate of 10,800 trays per hour. A second S-3000 CB cross belt sorter will
sort irregular mail such as books, oversized envelopes, literature etc, which
have a non-standard thickness or dimension that cannot be handled by letter
sorting and flat sorting machines. The sorting system for irregular mail (up
to a maximum of 7 kg or 15.4 lbs) has a capacity of 15,000 items per hour and
features OCR (Optical Character Recognition) and video coding.

FKI Logistex Crisplant

Crisplant is a subsidiary of FKI Logistex, a global leader in materials
handling systems. Crisplant designs and manufactures advanced sortation and
baggage-handling systems and has installed more than 700 custom engineered
system installations worldwide for airports, postal centres, warehouses and
distribution centres. The company has locations in Denmark, USA, United
Kingdom, South Africa, France, Germany, Singapore and China.

FKI Logistex

FKI Logistex provides best practice solutions for baggage handling, freight &
parcel, distribution & warehousing and manufacturing applications. Each team
draws on expertise from within the entire FKI Logistex group and externally,
offering leading edge technologies in baggage handling systems, high-speed
sortation, carousels, palletising, paperless pick products, controls, conveyor
systems, materials handling mechanization and systems integration.

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