Helsinki, Finland 10 September 2015 -- Munksjö plans to further adjust its cost structure. The plan includes restructuring actions that require personnel negotiations at the production facility located in Mathi, close to Turin in Italy.
With the planned restructuring, Munksjö aims to further adjust the cost structure and improve the operational efficiency of Business Area Release Liners. The production facility in Mathi is a shared site with Ahlstrom Corporation. The headcount reduction related to the restructuring project is expected to be around 45 employees. Munksjö currently has around 270 employees in Italy. The restructuring is subject to consultation and approval processes in accordance with local legislation.
The expected annual cost savings of the restructuring amount to approximately EUR 2.0-2.5 million. Munksjö expects to attain the full profitability effect of the planned cost savings gradually during 2016. Related to the restructuring in Mathi, other efforts to adjust the cost structure and other reorganisation activities, Munksjö will book non-recurring costs of approximately EUR 5 million in the third quarter of 2015.
As communicated in November 2014, Munksjö's EBITDA margin target of 12 per cent over a business cycle is planned to be achieved through efforts and initiatives including; continued organic growth, reinforced market positions in existing product segments, strengthened positions in emerging markets, continued adjustments of the cost structure, measures to improve efficiency in production and further develop the technical service offering. The ambition is to reach the profitability target at the end of 2016.
Made by Munksjö - Intelligent paper technology
Munksjö is a world-leading manufacturer of advanced paper products developed with intelligent paper technology. Munksjö offers customer-specific innovative design and functionality in areas ranging from flooring, kitchens and furnishings to release papers, consumer-friendly packaging and energy transmission. The transition to a sustainable society is a natural driving force for Munksjö's growth as the products can replace non-renewable materials. This is what "Made by Munksjö" stands for. Given Munksjö's global presence and way of integrating with the customers, the company forms a worldwide service organisation with approximately 2,900 employees and 15 facilities located in France, Sweden, Germany, Italy, Spain, Brazil and China. Munksjö's share is listed on Nasdaq in Helsinki and Stockholm. Read more at www.munksjo.com.