Uponor Corporation Stock exchange release 23 November 2016 13.30 EET
Uponor plans to concentrate pipe production and close a factory in Spain
Uponor plans to close its PEX pipe production site in Mostoles, Spain and transfer production to the company’s facilities in Virsbo, Sweden. Uponor is starting employee consultation with the local works council, and it estimates that up to 56 employees may be affected. The company will offer supportive measures for employees affected by the changes.
The Mostoles plant manufactures PEX pipe for the south European markets. As part of the European transformation programme, started in autumn 2015, the company now plans to transfer the production to rationalise manufacturing and reduce cost in supply chain and production operations.
“Our main PEX pipe markets are in the Nordic countries and Germany, and therefore the manufacturing location in Virsbo is well suited to serve those customers,” says Jan Peter Tewes, President, Building Solutions – Europe.
Uponor will continue to have its logistics centre and the sales & marketing organisation in Spain.
The announced plan is part of Uponor’s transformation programme, which started a year ago in the company’s European segments to accelerate profitable growth, greater agility and cost reductions. In addition to the initiatives to grow net sales, the transformation programme was also targeted at contributing a minimum of €25 million in operational savings in the consolidated financial accounts by the end of 2017. Of these savings, Building Solutions – Europe is seeking at least €20 million.
Further information:
Jyri Luomakoski, President and CEO, tel. +358 20 129 2824
Riitta Palomäki, CFO, tel. +358 20 129 2822
Uponor Corporation
Tarmo Anttila
Vice President, Communications
Tel. +358 20 129 2852
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Uponor is a leading international systems and solutions provider for safe drinking water delivery, energy-efficient radiant heating and cooling and reliable infrastructure. The company serves a variety of building markets including residential, commercial, industrial and civil engineering. Uponor employs about 3,700 employees in 30 countries, mainly in Europe and North America. In 2015, Uponor's net sales totalled €1,050 million. Uponor is based in Finland and listed on Nasdaq Helsinki. www.uponor.com