Cargotec finalises the statutory cooperation negotiations regarding its programme to achieve annual cost savings of approximately EUR 25 million in MacGregor

Cargotec launched in 25 October 2016 a programme to achieve annual cost savings of approximately EUR 25 million by seeking efficiency improvement and cost savings. The global statutory cooperation negotiations have been finalised resulting in restructuring of operations and reducing of 230 full-time equivalents globally. The measures are affecting especially MacGregor operations in China, Finland, Norway, Singapore and Sweden.  

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In addition to the above measures, and to support MacGregor strategy to apply asset light business model, MacGregor has made an agreement to sell assets of its production facility in Uetersen, Germany, to a newly founded company Uetersener Maschinenfabrik GmbH. The deal was closed in 30 December 2016 and 79 production team members transfer to the new company. 

Above measures result in restructuring costs of EUR 31.5 million in the final quarter of 2016. 

"These are difficult steps we are taking, and they will affect to people who have contributed to MacGregor's success. However, we need to adapt to the current reduced demand whilst maintaining our industry leadership position. Taking into account the current market environment, we aim to be profitable with these measures. At the same time, we continue to invest in new segments where our presence has been limited in the past, as well as in new technology. We also put a lot of focus on our service business, and maintain a connection with our customers throughout the whole life-cycle of their assets and offer solutions to improve our customers' operations.  We have an extremely strong competency in order to help our customers operate more efficiently," says Michel van Roozendaal, President of MacGregor.