12.19.19
Meyer Burger Technology Ltd. said it will completely discontinue its production site in Zülpich, Germany by mid-2020.
In the future, the systems for optical measuring and testing technologies for industrial manufacturing sold under the Hennecke brand will be produced entirely at Meyer Burger's largest site in Hohenstein-Ernstthal using its own resources.
Around 60 employees will be affected by the closure of the Zülpich site.
Meyer Burger will offer the affected employees, some of whom have been with the company for many years, socially compatible solutions on the basis of the legal requirements.
Meyer Burger expects restructuring costs of approximately CHF 7 million ($7.14 million), which will be provided for in 2019 and of which CHF 3 million ($3.06 million) is expected to affect cash flow in 2020.
"We are proud of our market-leading wafer inspection product and will continue to offer it to demanding customers. However, volumes and margins have fallen sharply in recent months," CEO Hans Brändle said. "The decision to close the Zülpich site was therefore not taken lightly.
"However, Meyer Burger had to take this decisive step as part of the planned adjustment of the business model and as a result of the unattractive margins in the PV standard business, especially in the Chinese market, and after examining various strategic options."
In the future, the systems for optical measuring and testing technologies for industrial manufacturing sold under the Hennecke brand will be produced entirely at Meyer Burger's largest site in Hohenstein-Ernstthal using its own resources.
Around 60 employees will be affected by the closure of the Zülpich site.
Meyer Burger will offer the affected employees, some of whom have been with the company for many years, socially compatible solutions on the basis of the legal requirements.
Meyer Burger expects restructuring costs of approximately CHF 7 million ($7.14 million), which will be provided for in 2019 and of which CHF 3 million ($3.06 million) is expected to affect cash flow in 2020.
"We are proud of our market-leading wafer inspection product and will continue to offer it to demanding customers. However, volumes and margins have fallen sharply in recent months," CEO Hans Brändle said. "The decision to close the Zülpich site was therefore not taken lightly.
"However, Meyer Burger had to take this decisive step as part of the planned adjustment of the business model and as a result of the unattractive margins in the PV standard business, especially in the Chinese market, and after examining various strategic options."