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Neschen closes loss-making plant in England

02-01-2012 05:03 AM CET | Industry, Real Estate & Construction

Press release from: Neschen AG

/ PR Agency: PRX
Logo Neschen AG

Logo Neschen AG

Bückeburg, 31 January 2012 - The company Neschen AG based in Bückeburg is closing its UK production plant in Basildon in mid-2012. Around 30 employees work at this plant producing self-adhesive products mainly for intercompany deliveries to Neschen AG and its US subsidiary. The plant closure should lead to an improvement in the group's EBITDA of 1.3 million euros from 2013 onwards.

The independent British sales company Neschen UK Ltd. will not be affected by the closure of the production plant in Basildon, however. Neschen is currently looking for a new and attractive location for the sales and support team.

Neschen had acquired the UK production plant following the takeover of Seal in 2001. Right from the start, the UK production facility contributed very little to the group's production volume. During the economic crisis in 2008/2009, the utilised capacity of the UK coating plant worsened progressively. According to Neschen, an earlier plant closure would not have been economically viable due to contractual agreements.

"The plant mainly supplied Neschen AG with high-quality protective films for niche markets," said Board member Stefan Zinn. "As a result of the low coating volume in this area, the plant has been making a loss for years." The current trend towards environmentally friendly products confirmed Neschen's resolution to close the plant now. "As a result of the technical advancements in water-based adhesives, we can no longer see any positive perspective for this production plant. This is why we have decided to close the plant by the end of 2012."

Neschen announced that a complete printing and finishing product range will continue to be available in the future. "Nothing will change for our customers," Stefan Zinn affirmed "they will continue to receive their goods on time and at the high level of quality they have become accustomed to."

Picture: Stefan Zinn
Picture caption: "From the business and market policy point of view, there was no sense in continuing our production facilities in England," said Board member Stefan Zinn. "We therefore decided to close the site."
http://www.pr-x.de/uploadfiles/pictures//1808_153823_Stefan%20Zinn.jpg

Sample copy requested if published

Neschen AG, Bückeburg - Graphics, Documents and Neschen Technical Coatings

Neschen AG develops, produces and markets innovative coated self-adhesive and digital print media worldwide, together with their processing machines and presentation systems. In addition, this internationally leading premium manufacturer uses its motto: "ideas for success" to help its partners to successfully market their products and services: in the graphics industry, library sector and in industrial applications.
The graphics product portfolio ranges from finishing, protection and mounting films to print media which can be used with modern digital printing technology for avant-garde architecture, decoration and advertising. The Bückeburg supplier is the first address for printing service providers, architects, designers, photographers, interior decorators and advertising agencies. The business unit Graphics also includes powerful laminating machines and high quality display systems.
The Documents sector comprises self-adhesive films and papers for the protection, repair and care of books. Libraries, archives and museums can also obtain the necessary working materials and processing equipment from Neschen. Numerous products in this series can also be used for picture framing: To fix, mount and protect pictures and photographs.
Based on more than 40 years experience with special coating methods, Neschen Technical Coatings can also offer industrial customers in all branches fully customized solutions. These range from surface finishes in the automotive industry to applications in the clinical-medical environment.
Around 450 employees at Neschen produced a global annual turnover of approx. 100 million Euro in 2010. www.neschen.com

Press contact:

Neschen AG
Frank Seemann
Marketing /
Communications Manager
Windmühlenstr. 6
31675 Bückeburg
Telephone: +49 5722 207-253
Fax: +49 5722 207-77-253
F.Seemann@neschen.de
www.neschen.com

PRX
Agentur für Public Relations GmbH
Ralf M. Haaßengier
Kalkhofstraße 5
70567 Stuttgart
Telephone 0711/71899-03/04
Fax 0711/71899-05
ralf.haassengier@pr-x.de
www.pr-x.de

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