Closure of the Finnish spring production plant Styria Jouset Oy planned

The Frauenthal Holding AG today announced their decision to close down the production of springs and stabilisers at the Billnäs location in Finland. The closure will take place during the course of 2006.

The Finnish spring production plant was acquired in 2003 and produces multileaf springs, parabolic springs and tubular stabilisers. The plant currently has a workforce of 95 employees. The annual turnover in 2005 amounted to 17 million € and as in the previous years the annual result was negative.   

The decision to close the plant became necessary following the acquisition of the ThyssenKrupp spring production plants in 2005 which created a production capacity surplus within the Styria Group and the internal cost structure at the Finnish location meant it was not possible to produce truck springs there profitably. The tubular stabiliser production will be relocated to another production plant within the Frauenthal Group.

Negotiations are now taking place with workforce representatives in Billnäs with regard to a package of measures to ease the economic and social impact of the planned closure.  

As a result of provisions made in previous years, it is not expected that the closure will have any negative effect on the Group result in the current financial year.  In the coming year the effect of closure will be seen in the savings made in the area of fixed costs.

 

Wertpapierkennnummer ISIN AT 0000762406
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Wertpapierkennnummer ISIN AT 0000492749
Notierung im Amtlichen Handel an der Wiener Börse

 

Contact:
Dr. Winfried Braumann
Frauenthal Holding AG
Prinz Eugen Straße 30/4a
1040 Wien
Tel. +43 (0)1 505 42 06
w.braumann@frauenthal.at

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0.050092935562134