The cooperation between Elmos Semiconductor AG and Fraunhofer Institute for Microelectronic Circuits and Systems (IMS) in Duisburg will end on June 30, 2020 in accordance with the agreed contract period. Elmos intended to continue the contract under existing conditions. However, the future technological orientation of the IMS and the progression in research priorities offer common interests in limited areas only. Therefore, despite intensive efforts, no continuation of the cooperation on mutually acceptable terms could be agreed upon. The termination of this agreement will result in restructuring expenses in the amount of about EUR 11 million for Elmos. The corresponding provisions will be recognized in the 2019 financial year.