Elektrobit Group Oyj - EB, ELEKTROBIT CORPORATION STARTS PERSONNEL NEGOTIATIONS TO TEMPORARILY DISMISS A MAXIMUM OF 200 EMPLOYEES IN FINLAND
June 07, 2010
EB, ELEKTROBIT CORPORATION STARTS PERSONNEL NEGOTIATIONS TO TEMPORARILY DISMISS A MAXIMUM OF 200 EMPLOYEES IN FINLAND
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Free for publication on June 7, 2010 at 02:00 pm (CEST+1)
EB, ELEKTROBIT CORPORATION STARTS PERSONNEL NEGOTIATIONS TO TEMPORARILY DISMISS A MAXIMUM OF 200 EMPLOYEES IN FINLAND
EB, Elektrobit Corporation has today announced that it starts personnel negotiations to adjust its cost level in the second half of 2010 to correspond its temporarily decreased order volumes. The negotiations concern 517 employees working in Elektrobit Wireless Communications Ltd and Elektrobit Corporation in Finland.
The temporary dismissals target to cost savings of EUR 1.7 million in the second half of 2010. To achieve the targeted savings EB proposes to temporarily dismiss a maximum of 200 employees for maximum of 90 days. This measure has no effect on the outlook for the first half of 2010 as announced in April 29, 2010. EB will give the outlook for the second half of 2010 in context with the interim report January-June 2010.
The decrease of order volumes is caused by i.a. a cancellation of a customer project and uncertainty of new customer projects' realization and timing in Wireless Solutions business. This measure has no direct impact on EB's customer work or on Wireless Solutions business strategy.
"Since the situation is not caused by a permanent decrease in demand, we believe that by strengthening our sales efforts our order volume will improve. EB's personnel is very skillful and with the temporary dismissals we intend to find a solution to this situation" says Ari Virtanen, Executive Vice President, Wireless Solutions.
Oulu, June 7, 2010
Elektrobit Corporation
Jukka Harju
CEO
Further information:
Ari Virtanen
Executive Vice President, Wireless Solutions
Tel. +358 400 435 878
Panu Miettinen
CFO
Tel. +358 40 344 5338
Distribution:
NASDAQ OMX Helsinki
Principal media
EB, Elektrobit Corporation
EB develops advanced technology and transforms it into enriching end user experiences. EB specializes in demanding embedded software and hardware solutions for the automotive industry and wireless technologies. The company's net sales for the year 2009 totaled EUR 153.8 million. Elektrobit Corporation is listed on the NASDAQ OMX Helsinki. www.elektrobit.com
