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2/16/2015 | 1 MINUTE READ

Gurit announces business changes

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Composite Components business unit has been created from the current Engineered Structures and Automotive business units, and launch of an industrialization program in Hungary for automotive components manufacturing, are just two of the changes.

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Gurit (Zurich, Switzerland) announced February 12 it will take three steps to shape the future of its Composite Components business. Organization-wise, Gurit will merge Engineered Structures and Automotive to form the new Composite Components business unit, focused on land transportation component applications in the premium automotive, bus and rail markets. From a sales reporting perspective, Gurit now subdivides its business into Composite Materials, Composite Components and Tooling.

From a strategic perspective, Gurit will transform the automotive section of its Newport facility in the mid-term into a technology center with product development, prototyping and production of smaller-volume specialty manufactured components. The company's Hungarian site is projected to be more of a volume manufacturing site for pressed and manual components with a higher degree of automated production lines and technologies.

To achieve this industrialization level in Hungary, Gurit is launching an almost CHF 6 million investment program during 2015 at the company`s existing production facility in Hungary. The investment is aimed at supporting the setup of substantially automated production lines for automotive components as a manufacturing base for the latest project win as well as series production of future automotive projects in Europe.

With regard to personnel, Gurit plans to reduce headcount at its facility in Newport, Isle of Wight, UK. The proposed reduction of 80  to 90 staff during March  and April 2015 results from expiration of a customer project and the associated lower workload for manually-manufactured automotive parts.

Start of a recently announced new automotive project will only commence in Q4-2015. Gurit estimates that restructuring cost for the socially acceptable downsizing and associated measures will amount to approximately £300.000.

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