Eching near Munich, 24 July 2013 – Today, Executive Board and Supervisory Board of Kontron AG have agreed specific measures with regard to the company’s cost reduction program, originally announced on May 6, 2013.
These measures focus on three areas: simplification of the company’s product portfolio, optimization of procurement activities, and reduction of the number of worldwide sites. In total, Kontron AG intends to lower its cost base by EUR 40 million per annum from 2016.
In this context, Kontron’s management has decided to consolidate a number of sites. Particularly in Germany, it is planned to concentrate and build up business activities at Kontron’s location in Augsburg, where the company intends to create a technology hub with superior innovation capabilities. In accordance with legal co-determination requirements, Kontron’s Executive Board will start talks with employee representatives immediately.
The Executive Board expects the implementation of all planned measures to trigger one-off costs of EUR 30-35 million until the end of 2014.
For further information:
HERING SCHUPPENER Consulting
Phone: +49 69 9218 7465