Gurit to Transfer Equipment and Production

26 February 2007

In a move to transform Gurit from a Euro-centric operation into a global organization, Gurit plans to transfer some production equipment from the UK to China and to outsource the warehousing and logistics activities in the UK.

The construction of Gurit’s new purpose-built facility at Tianjin in China is running on schedule; the facility will be fully enclosed by Chinese New Year, February 18, 2007. After that, the manufacturing equipment ordered for China will be installed with production due to start in the autumn. Gurit will also move some prepreg production equipment from the UK to China and the production of some prepreg materials will be relocated from the UK closer to customers in Spain, Germany, Canada and China.

These measures may result in some administrative and shop floor positions being made redundant in the UK. Gurit has informed its work-force at Newport and will consult with employee representatives during a 30 day consultation period. At Newport, Gurit say that they will further expand its prototyping facility and that the new production unit for car body parts is also advancing to plan and should be in full production by the end of 2007.

A total of around 45 positions out of some 450 employees may become redundant at Gurit in the UK. To bring operating costs further down, Gurit also plans to outsource all warehousing and logistics activities at Gurit UK, but they say that warehousing and logistics staff will be employed with the outsourcing partner.

The future of Gurit in the UK will centre on the development of new products and related manufacturing technology, structural engineering as well as certain central Group functions. The site will continue to lead the Group’s research-driven formulated epoxy resin activities and serve as a carbon-expert prepreg manufacturing site.

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