Moventas centralizes Finnish operations
Moventas companies, currently under corporate restructuring, are taking measures to release their excess capacity in Finland. Therefore, the industrial gear manufacturer Moventas Santasalo Ltd has decided to terminate its lease agreement in the Karkkila factory as of the first quarter of 2013.
Moventas Santasalo Ltd, active in Jyväskylä and Karkkila, has yesterday made a decision to terminate its lease agreement in Karkkila, to end by the end of the first quarter of 2013. This arrangement excludes the housing machining workshop located in the factory. The housing machining workshop will continue its operations in the premises, in its current space in a separate building. The lease agreements of Moventas’ two Jyväskylä-based factories will be continued.
Moventas will start planning for the reorganization of the Karkkila factory’s industrial gear component manufacturing, assembly and service workshop operations either by outsourcing or transferring production to domestic or foreign production sites by the end of the lease agreement. Moventas is also going to explore possibilities of either outsourcing the housing machining operations of both Karkkila and Jyväskylä or centering the entire function to Karkkila.
Terminating the Karkkila factory lease agreement and centralizing operations are all part of reorganizing and restructuring the Moventas companies.
- These measures are unfortunate but necessary. We have suffered from excess capacity on our Finnish factories for a long time, and by these measures we streamline our capacity utilization and add to the flexibility of the use of resources in Finland. In order to maintain customer satisfaction, we will make sure there is enough time and resources for preparing and carrying out the changes, says CEO & President of Moventas companies, Jukka Jäämaa .
Moventas will start planning the production reorganization together with its staff as soon as the on-going Clyde Blowers acquisition of the Moventas companies has been closed. Preparations for the closing are proceeding as planned, and the final closing is likely to take place around year-end.