Sennheiser Expands Its Wedemark, Germany Site

OLD LYME, CT--Audio specialist Sennheiser is expanding its corporate headquarters in Germany. Sennheiser, one of the region's largest employers, plans to extend the site by the addition of a production and technology center, as well as a customer center. A total sum of more than €20 million (approximately $32 million USD) is to be invested by 2011. This expansion represents a clear commitment by the internationally-active family company to its base in Wedemark, near Hanover.

"The continuous increase in our activities, and the resulting growth in our
workforce make it necessary for us to expand our company headquarters,"
explained Prof. Dr. Jörg Sennheiser, chairman of the supervisory board, at
Sennheiser's annual press conference. "This strengthening of the Wedemark
site will support the positive development of the global Sennheiser Group
and will further increase our customer orientation."

A structural plan for the company site was developed in cooperation with
Essen-based architect Jürgen Reichardt, and is to be implemented over the
next few years. Construction will begin this November with the building of a
new production and technology center at a cost of around €10 million
(approximately $16 million USD). This will be followed, at a later date, by
the construction of an international customer center. "The expansion of the
corporate headquarters is a clear indication of the Sennheiser family's
commitment to Wedemark as a manufacturing location," said Volker Bartels,
speaker of the executive team and president, manufacturing and logistics,
commenting on the construction project.

The new technology and production center will provide around 5,000
square-meters (over 53,800 square-feet) of production area on two levels,
which can be flexibly used according to requirements and order volumes. The
surrounding offices can be freely assigned as required. "This flexible use
of facilities corresponds to the state-of-the-art in factory planning,"
Bartels explained. "In addition to the company management and the works
council, Sennheiser employees from various departments were also involved in planning the initial layout. This allowed experience and knowledge from the most varied disciplines to be integrated into the designs." The new
production and technology center will be used primarily for the manufacture
of wireless systems and microphones, as well as for developing and testing
new technologies.

The new building project is at the same time the prerequisite for the
relocation of the almost two hundred employees currently working at the
Burgdorf site. Combining the two factories in Wedemark will improve
efficiency by streamlining the production processes. What's more, the close
proximity to the development facilities will bring significant advantages in
ramping up production of new products. The relocation of employees from
Burgdorf will probably take place at the end of 2009.

After completion of the production and technology center, a customer center will be built at the entrance to the site. It will create a representative environment that will enable visitors and customers to experience the
Sennheiser brand at its headquarters. The initial design ideas for the customer center include 'sound islands' that introduce visitors to the subject of acoustics and a Sennheiser stage that allows products to be tested in practical application.

"The expansion of the existing architecture in Wedemark will enable all
corporate functions at the company headquarters to work more closely
together and to communicate more efficiently," Bartels said. Not least, of
course, the aim is also to provide both Sennheiser employees and
international visitors with a future-oriented and attractive environment.

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