On 8 March, Cloetta (STO:CLAB) announced the intention to close the factory in Gävle, Sweden. Following finalized union negotiations and the report from the independent Employee consultant, the Board has decided to close the factory.
The production will be transferred to the factories in Ljungsbro, Sweden and Levice, Slovakia. The factory in Gävle is planned to be closed in early 2014. Discussions will be initiated with the local unions in order to support the employees before the closure of the factory.
The decision to close the factory in Gävle, combined with the decisions taken on 15 May to close the factories in Aura, Finland and Alingsås, Sweden and streamline the warehouse network, will, as previously communicated, generate annual savings of approximately SEK 100 million on EBITDA-level. The restructuring is driven by an overcapacity in the Group’s production structure which makes it necessary to reduce the number of factories.
Cloetta, founded in 1862, is a leading confectionary company in the Nordic region, the Netherlands, and Italy. In total, Cloetta products are sold in more than 50 countries worldwide. Cloetta owns some of the strongest brands on the market, such as Läkerol, Cloetta, Jenkki, Kexchoklad, Malaco, Sportlife, Saila, Red Band and Sperlari. Cloetta has 12 production units in six countries. Cloetta’s class B-shares are traded on NASDAQ OMX Stockholm.
The information contained in this press release is such that Cloetta is required to disclose pursuant to the Swedish Financial Instruments Trading Act and/or the Swedish Securities Markets Act. The information was submitted for publication on June 15, 2012 at 08:30 a.m. CET.
More information about Cloetta is available on www.cloetta.com
This information was brought to you by Cision http://www.cisionwire.com