AUTEFA Solutions To Expand European, China Operations

AUTEFA Solutions Germany GmbH — a company comprised of Fehrer, F.O.R., Octir and Autefa; and
recently acquired by China-based China Hi-Tech Group Corp. (CHTC) — has announced plans to
streamline and expand its European operations, and open a facility in China.

Autefa reports it will restructure its three locations in Europe — in Friedberg, Germany;
Linz, Austria; and Biella, Italy — to more efficiently manage its operation. The Friedberg office
will coordinate and execute all activities for Autefa’s product lines — including bale presses,
nonwovens equipment, wool processing machines and automation equipment — and will handle all orders
placed with the Autefa Solutions Group. A new assembly building will be constructed to handle the
new capacity in Friedberg. Autefa’s Linz location will focus on needle looms and related
components; and the company hopes to expand the Biella location, which remains the center for
carding and fiber preparation technology.

The company’s United States-based sales and service center, Autefa Solutions North America
Inc., will continue to operate its growing business.

Autefa’s new facility in China will produce machines tailored to the Chinese market. That
location also will work closely with its sister CHTC companies in China.

September 26, 2012