STOCKHOLM, Sweden, Jan. 24, 2002 (PRIMEZONE) -- The co-determination negotiations between Scania (NYSE:SCVa) (NYSE:SCVb) and the trade unions about the structuring of the bus activities have been concluded. The negotiations comprised the formation of a separate bus bodybuilding company and the co-ordination of buses - i.e. production, development, procurement and marketing related to bus chassis - with trucks.
Agreement on Bodybuilding Company
The company and the trade unions have agreed about the formation of a separate company for bus bodybuilding. Based in Katrineholm, this company will be charged with Scania's bus body operations. The company will be fully owned by Scania and will be responsible for the development, production, procurement and commercial issues related to bus bodies. The bodybuilding activities in Sweden, Poland and Russia will be included in the company's responsibilities.
Disagreement on Transfer of Chassis Operations
Scania regrets that the negotiations about the co-ordination of bus chassis operations with those of trucks have not resulted in an agreement. Scania remains of the opinion that chassis operations for trucks and buses need to be co-ordinated, since this is a matter of survival for Scania's bus operations.
The main co-ordination gains with the re-structuring will allow the bus business to develop towards long-term profitability on a par with that of trucks. Scania's standpoint is confirmed by the report of the employee consultant.
Scania is one of the world's leading manufacturers of trucks and buses for heavy transport applications, and of industrial and marine engines. With 26,900 employees and production facilities in Europe and Latin America, Scania is one of the most profitable companies in its sector. Scania products are marketed in about 100 countries worldwide and some 95 percent of Scania's vehicles are sold outside Sweden.Bus manufacture takes place in Sweden, Poland, Argentina, Brazil and Mexico.
Scania press releases are available on the Internet, www.scania.com
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