WEG S.A.
a PUBLICILY LISTED COMPANY
CNPJ nº 84.429.695/0001-11
NIRE 42.300.012.203
Avenida Prefeito Waldemar Grubba, 3300 – Jaraguá do Sul
WEG announces estimates for Gross Sales Growth and
Capacity Expansion Investments for 2008
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Gross Sales growth of approximately 20% in 2008;
Capacity Expansion Investments Program projected to reach R$ 520 million,
highligthing new foundry, steel stamping and hydro-generator factory.
Jaraguá do Sul, December 20, 2007 - WEG S.A. (Bovespa: WEGE3, Novo Mercado) informs the
conclusion of its business planning process for 2008. In this process we adopted as assumptions an
expansion of around 4.3% for the Brazilian GDP and of around 4.4% growth for the world product
throughout next year. We have also considered that the average R$ / US dollar exchange rate for 2008
should remain around the current levels.
We believe that the markets where we are present should continue to follow the trends observed over the
past few years, such as: (i) the continuing growth of importance of energy efficiency as a driving factor for
demand for our products, and; (ii) the need for constant diversified investments in generation,
transmission and distribution of electric energy in Brazil and in other countries where we already are
present. These are long term trends and, as such, should continue to generate growth and market
development opportunities going forward.
At the same time, we are maintaining our strategy of continuous increase of technological content in our
products. We believe that we could strength our competitive positioning through additional increases of
market share, specially outside Brazil.
Based on these macroeconomic and market assumptions, we estimate that we can reach in 2008
consolidated gross revenues growth rates of around 20% in relation to the previous year.
In order to make the estimated sales expansion possible we forecast total investments of R$ 520 million
in capacity expansion and plant modernization in 2008. We maintain the flexibility of the investment
program, which allows us to make the necessary adjustments on pace and total amounts to be invested.
We highlight the expansion of capacity in foundry, with the start of construction of a new metal works
plant, steel stamping capacity expansion and of a new hydro-generators manufacturing plant
The investment program will be financed by the reinvestment of internal cash generation and new loans
from development agencies such as BNDES.
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Information contained in this document includes forward-looking statements and reflect current perception and perspectives held
by WEG’s officers on the evolution of macroeconomic environment, industry conditions, company’s performance and financial
results. Any statements, expectations, capacities, plans and estimates contained in this document and that do not describe
historical facts, such as dividend payments, future direction of operations, execution of relevant operating and financing
strategies, investment programs, factors or trends that affect the financial conditions, liquidity or results from operations are
forward-looking in nature and contemplate several risks and uncertainties. There can be no assurance that such results will
materialize. The statements are based in several factors and expectations, including economic and market conditions,
competition within the industry and operating factors. Any changes to those expectations and factors may signify that real results
will materially differ from the current expectations..
About WEG S/A:
Founded in 1961, WEG S.A. is one of the largest players in synergetic electro-electronic industrial
solutions in energy, automation, electric motors and industrial paints. WEG shares are traded under the
ticker WEGE3 at Bovespa’s Novo Mercado.
For further information, please contact:
Luís Fernando Oliveira
luisfernando@weg.net
Investor Relations Manager
+55 (47) 3276-6973
Cristina Santos
cristinas@weg.net
Corporate Communications
+55 (47) 3276-4295