Brief: AAK Starts Consultation Process Regarding Closure Of Its Merksem Site

AAK AB (publ)

30/06/2021 08:11

June 30 (Reuters) - AAK AB (publ)  AAK.ST :
    * AAK ENTERS FORMAL CONSULTATION PROCESS REGARDING
PRODUCTION
CONSOLIDATION TO FURTHER OPTIMIZE ITS EUROPEAN BAKERY BUSINESS
    * ENTERED A FORMAL CONSULTATION PROCESS WITH UNION DELEGATES
TO
CARRY OUT A PRODUCTION CONSOLIDATION AND SUBSEQUENT CLOSURE OF
ITS SITE IN MERKSEM, BELGIUM
    * IF IMPLEMENTED, RESTRUCTURING IS EXPECTED TO CAUSE
NON-RECURRING
COSTS OF EUR 30 MILLION
    * CLOSURE OF SITE IN MERKSEM WOULD LEAD TO ANNUAL COST
REDUCTIONS
AND PRODUCTIVITY GAINS OF APPROXIMATELY EUR 5 MILLION
    * IN ORDER TO MANAGE POTENTIAL ADDITIONAL VOLUMES IN HULL
AND
ZAANDIJK, SOME PRODUCTION EQUIPMENT WOULD BE TRANSFERRED FROM
MERKSEM AND SELECTIVE INVESTMENTS WOULD BE MADE
    * PRODUCTION SITE IN MERKSEM, BELGIUM, WHICH EMPLOYS
APPROXIMATELY
100 PEOPLE
    * PROPOSED CONSOLIDATION IMPLIES A TRANSFER OF PRODUCTION
FROM
MERKSEM TO AAK'S SITES IN HULL, UNITED KINGDOM AND ZAANDIJK,
NETHERLANDS

Source text for Eikon:  ID:nWkr3mVtGj 
Further company coverage:  AAK.ST 

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