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Further Optimization of Production Facilities – SGL Group Closes Plant in Narni
The closure is a component of the Company’s global realignment strategy and the SGL2015 cost savings program. The market for graphite electrodes, which are used in the recycling of scrap steel, has come under pressure due to unfavorable price developments and weak demand in particular. Discussions with the unions about a redundancy scheme will be initiated and the wind-down of the site, which is home to approximately 120 jobs, will begin. Following the closure of the graphite electrodes plant in Lachute/CA, SGL Group has now taken a further step towards optimizing its capacities across the Company, strengthening the Group’s competitiveness and securing its cost position. SGL’s global production network is committed to ensuring that the high quality of SGL’s products and services will be maintained during the closure phase. The implementation of the SGL2015 cost savings program, which was launched in August 2013, is progressing according to plan. The Company has announced and, in many cases, already implemented numerous measures for the streamlining of its global production network and organizational structure as well as the optimization of its portfolio. As a result, SGL Group is confident that it will achieve its planned cost savings target of around EUR 150 million in total by the end of 2015.
