Nokia Networks, and SCI Systems, Inc., the US based provider of manufacturing and supply chain services, will expand their manufacturing cooperation. The companies have signed a contract according to which SCI Systems will acquire Nokia Networks' manufacturing business in Haukipudas, Finland and in Camberley, UK.
SCI will manufacture narrowband access products and in the future also units for 3G base stations in Haukipudas. In Camberley, SCI will manufacture transceiver/receiver units for 2G Talk family base stations. The agreement includes manufacturing know-how linked to the transferring production. Based on this know-how, SCI Systems will establish an Engineering Services unit providing services for Nokia and other customers.
The personnel, altogether approximately 1,250 employees, will transfer to SCI. The transaction will have no impact on other Nokia Networks' manufacturing units.
This transaction represents continued expansion of global cooperation between SCI and Nokia. In 1998, SCI acquired Nokia facilities in Oulu, Finland and in Motala, Sweden and in October 2000, began building Nokia 2G Talk family base stations in Perth, Western Australia. This new transaction expands SCI’s unit production for base stations and narrowband access products manufacturing and engineering capability.
“Our selection of SCI as a key global Electronics Manufacturing Service (EMS) company is an important part of our strategy to meet the increasing worldwide demand for telecom networks. Our cooperation with SCI complements our own manufacturing capabilities and is a natural step in our networked manufacturing strategy. This cooperation brings us more flexibility and further improves our competitiveness. The manufacturing units in Haukipudas and Camberley will continue to contribute to Nokia Networks' value chain," said Tapio Karjalainen, Senior Vice President, Product Operations, Nokia Networks.
"We are very excited about the expansion of our Nokia relationship. With all of Nokia’s choices, their selection of SCI as a global EMS company and engineering services supplier is an endorsement we are very proud of. The skilled resources of the 1,250 Camberley and Haukipudas employees enhance our European and world-wide telecom engineering and integration services offerings. We look forward to sharing our e-commerce capabilities and expertise with Nokia in a lasting and solid relationship,” said Gene Sapp, SCI Chairman and CEO.
Subject to regulatory approvals being received, it is anticipated that the closing of the transaction will take place before the end of the second quarter, 2001.
About SCI
SCI Systems, Inc. is a world-class provider of Manufacturing and Supply Chain Services. SCI delivers supply chain solutions through its global reach, dedication, quality, efficiency, and total commitment to customer service. The company continues to pioneer new and innovative end-to-end services through its commitment to being the leading e-enabled EMS services provider. SCI – THE e-EMS COMPANY (TM) is dedicated to providing manufacturing and related services for the new millennium. SCI is publicly traded on the New York Stock Exchange under the symbol SCI. The company, headquartered in Huntsville, Alabama, operates 51 facilities located in 19 countries. SCI employs more than 37,000 people.
About Nokia
Nokia is the world leader in mobile communications. Backed by its experience, innovation, user-friendliness and secure solutions, the company has become the leading supplier of mobile phones and a leading supplier of mobile, fixed and IP networks. By adding mobility to the Internet Nokia creates new opportunities for companies and further enriches the daily lives of people. Nokia is a broadly held company with listings on six major exchanges.
Further information:
Communications Department
Nokia Networks
Tel. + 358 (0) 7180 38193
Fax + 358 (0) 7180 38199
www.nokia.com