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Alfa Laval intends to take final step in process of moving manufacturing from Aalborg, Denmark – competence centre to remain

Alfa Laval – a world leader in heat transfer, centrifugal separation and fluid handling – has today announced that structural changes are needed in the manufacturing in Aalborg, Denmark to secure long-term competitiveness.

LUND, Sweden--(BUSINESS WIRE)--Regulatory News:

The change should be seen as the final step in transferring manufacturing from Aalborg to China, a process initiated already in 1994, with the establishment of manufacturing of boilers in Qingdao, China. The change concerns manufacturing of heaters and burners and will affect about 90 employees in Aalborg and Alfa Laval will now enter into discussions with the involved parties.

“The Aalborg manufacturing unit has performed well and contributed to the success of Alfa Laval and former Aalborg Industries, says Lars Renström, President and CEO of the Alfa Laval Group. “But, shipbuilding is mainly located in China, South Korea and Japan, so from a cost and logistics perspective, it makes sense to concentrate the manufacturing of boilers, heaters and burners to an existing unit, located in the same region as the customers.”

Alfa Laval will keep its global competence centre for boiler technology in Aalborg, including the product centre, marketing, service activities, the new global test & training centre and certain manufacturing and assembly of Alfa Laval PureSOx and heaters for the European market. Upon completion close to 400 people will be employed in Alfa Laval Aalborg.

The financial impact of the structural changes will be communicated earliest October 28, in connection with the announcement of Alfa Laval’s third-quarter report.

Did you know that… Alfa Laval’s manufacturing unit in Qingdao, China includes 40,000 square meters, with about 900 employees and that they produced about 1,000 boilers during 2013?

About Alfa Laval

Alfa Laval is a leading global provider of specialized products and engineering solutions based on its key technologies of heat transfer, separation and fluid handling.

The company’s equipment, systems and services are dedicated to assisting customers in optimizing the performance of their processes. The solutions help them to heat, cool, separate and transport products in industries that produce food and beverages, chemicals and petrochemicals, pharmaceuticals, starch, sugar and ethanol.

Alfa Laval’s products are also used in power plants, aboard ships, oil and gas exploration, in the mechanical engineering industry, in the mining industry and for wastewater treatment, as well as for comfort climate and refrigeration applications.

Alfa Laval’s worldwide organization works closely with customers in nearly 100 countries to help them stay ahead in the global arena.

Alfa Laval is listed on Nasdaq OMX, and, in 2013, posted annual sales of about SEK 29.8 billion (approx. 3.5 billion Euros). The company has today, after the acquisition of Frank Mohn AS about 17 500 employees.

www.alfalaval.com

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Contacts

For more information please contact:
Peter Torstensson Senior Vice President,
Communications Alfa Laval
Tel: + 46 46 36 72 31
Mobile: +46 709 33 72 31
or
Gabriella Grotte Investor Relations Manager
Alfa Laval
Tel: +46 46 36 74 82
Mobile: +46 709 78 74 82