Swedishwire.com
FinnvedenBulten AB rejigs aluminium & magnesium die casting operations to improve profitability
Edited by : AL CIRCLE
1 min read
As part its long term strategy FinnvedenBulten AB's long-term strategy and improve profitability for die cast components, the Finnveden Metal Structures division intends to streamline its factory in Sweden to be earmarked for aluminum die casting and by concentrating its European magnesium die casting to the factory in Poland.
The company’s plan is to find new owners for aluminium die casting factory. The measures are expected to result in annual profit improvements of approximately SEK 20 million.
"We have for a long time been experiencing profitability problems in the foundry operation in Sweden. Despite great determination and a series of measures, we have not managed to achieve the necessary profitability improvements. By streamlining the operation, Finnveden Metal Structures will achieve better capacity utilization and reduce costs, which is a prerequisite for good, sustainable profitability in the foundry operation," says Johan Westman, President and CEO of FinnvedenBulten.
The planned restructuring means that production of die cast magnesium components will be concentrated to Poland and the foundry in Sweden will be downsized and streamlined for die cast aluminum production. Implementation is scheduled for completion in 2013.
The company’s plan is to find new owners for aluminium die casting factory. The measures are expected to result in annual profit improvements of approximately SEK 20 million.
"We have for a long time been experiencing profitability problems in the foundry operation in Sweden. Despite great determination and a series of measures, we have not managed to achieve the necessary profitability improvements. By streamlining the operation, Finnveden Metal Structures will achieve better capacity utilization and reduce costs, which is a prerequisite for good, sustainable profitability in the foundry operation," says Johan Westman, President and CEO of FinnvedenBulten.
The planned restructuring means that production of die cast magnesium components will be concentrated to Poland and the foundry in Sweden will be downsized and streamlined for die cast aluminum production. Implementation is scheduled for completion in 2013.
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