FinnvedenBulten Restructuring Foundry Operation

Finnveden’s Metal Structures division is streamlining its foundry operation by concentrating its European magnesium die casting to the factory in Poland. The factory in Sweden will be streamlined for aluminum die casting and the company’s intention is to find new owners for it. The measures should result annual profit improvements of approximately SEK 20 million.
“We have for a long time been experiencing profitability problems in the foundry operation in Sweden,” stated CEO Johan Westman.  “By streamlining the operation, Finnveden Metal Structures will achieve better capacity utilization and reduce costs.” 
The planned restructuring means that production of die cast magnesium components will be concentrated to Poland and the foundry in Sweden will be downsized and streamlined for die cast aluminum production, with completion slated for 2013.
In total 50 people will be affected by the restructuring, which is expected to entail costs of approximately SEK 40 million in 2013. The measures are expected to result in profit improvements of approximately SEK 20 million from 2014.