Perlos Corp. buying Hong Kong-based CIM
NURMIJÃRVI, FINLAND - Perlos Corp. has agreed to buy 75 percent of CIM Precision Molds (HK) Ltd. in Hong Kong and a subsidiary, and is expanding capacity at the Perlos phone parts plant in Beijing. Meanwhile, Perlos plans temporary layoffs at its phone parts plant in Kontiolahti, Finland.
CIM, which already supplies Perlos with molds, had 2004 sales of about HK$60 million (US$7.7 million). The firm makes 150-200 molds annually and employs more than 200. CIM now operates in Shenzhen and Dongguan. This spring, all operations will be centralized in Shenzhen and renamed Perlos Precision Moulds and Moulding (Shenzhen) Co. Ltd.
The Hong Kong operation will act as a service center for existing CIM customers, which include Hewlett-Packard, Gillette, Compaq, Microsoft, Kodak and TRW.
Perlos also is expanding capacity at its year-old Beijing injection molding plant and will lease property nearby to extend production space by 69,000 square feet. The new space should be operational by the end of this year, Perlos said in a news release.
In Finland, the firm plans to lay off as many as 200 workers for three months at its plant in Kontiolahti. The company blames a poor short-term business outlook at the mobile phone components plant. The site, known as the Lehmonharju facility, employs 640.
NurmijÃ¤rvi-based Perlos said it expects sales for the first quarter of 2005 in its telecommunications and electronics business sector to be lower than those of last year. Sales figures for the last three months of 2004 were below expectations.
The mobile phone market currently is volatile, Perlos said. Despite that, the firm predicts sales growth of 10 percent in 2005.
The company expanded the 184,000-square-foot facility in Kontiolahti by nearly 22,000 square feet last year to meet increasing demand, and it added a 4 million euro ($5.2 million) painting line. The plant will get new in-mold labeling technology.
HuhtamÃ¤ki outlines plans for cutbacks
ESPOO, FINLAND - HuhtamÃ¤ki Oyj has revealed more details of its reorganization, including plans to cut about 300 jobs this year at six European plastics and paper packaging plants.
HuhtamÃ¤ki is preparing to close its fresh-food and consumer packaging facility in Leeds, England, which employs 150. The firm will relocate injection molding to its rigid packaging plant in Auneau, France, with production of amorphous and crystalline PET containers going to HuhtamÃ¤ki's polypropylene and PS rigid packaging plant in Gosport, England.
Negotiations with workers are under way at two Italian thermoforming facilities at Settimo Torinese and Sant'Ilario D'Enza; and an expanded polystyrene plant in Skelmersdale, England.
The Espoo-based firm in recent years has acquired a range of businesses and said some consolidation is overdue.
HuhtamÃ¤ki said consumer packaging demand in Europe remained soft last year, in contrast to North and South America. Its PS units faced a severe squeeze on margins. Flexibles fared better thanks to product development.
The company reported profit of 122 million euros ($152 million) in 2004, unchanged from 2003.
HuhtamÃ¤ki faced a 46 million euro ($57 million) restructuring charge at the end of 2004.
Europe's EVC to buy Solvay subsidiaries
EIJSDEN, NETHERLANDS - Leading European PVC producer EVC International NV is expanding its sheet business by agreeing to buy two Solvay SA operations in Italy.
EVC majority owner Ineos Group plc of Lyndhurst, England, is buying Solvay's foil calendering extrusion businesses, Adriaplast SpA of Monfalcone and Caleppiovinil SpA of Fucine di Ossana.
Adriaplast runs four calendering lines and Caleppiovinil has two. Adriaplast also extrudes PET sheet and has a metalizing site.
The units, which together employ 235, serve food, consumer and pharmaceutical packaging markets. They have combined annual sales of 62 million euros ($80.7 million), according to Brussels, Belgium-based Solvay.
Eijsden-based EVC produces PVC and vinyl chloride monomer, but also runs compounding and rigid films operations in Europe and India. Its rigid films division has sheet calendering and extruding in five European locations.
Sister firms moving in Evansville, Ind.
EVANSVILLE, IND. - Sister companies Cresline Plastic Pipe Co., Wabash Plastics Inc. and Crescent Plastics Inc. will have new headquarters by next year.
The Evansville firms probably will move within the city. A project to widen a nearby road eventually will make it difficult to access the property. County officials approved a tax break in early March for the new headquarters, which will be a new office building.
The companies are run by the Schroeder family. Cresline extrudes pipe from PVC, polyethylene, chlorinated PVC and ABS, while Wabash is a custom injection molder and Crescent is a custom extruder.
England's Thompson adds capacity, staff
HULL, ENGLAND - A surge in orders from makers of construction and agricultural vehicles, including Caterpillar Inc., has led Thompson Plastics Group to expand the capacity and workforce of its vehicle products division.
Hull-based Thompson, which molds roofs, fenders, interior and under-the-hood parts for those markets, invested nearly $1 million to install new Geiss thermoforming and computer numerically controlled routing equipment. The company has added 20 workers at its plant in Hessle, England.
``We have a £2 million ($3.7 million), nine-month program of investment in plants and equipment across our division's sites,'' said divisional Managing Director Nick Pascoe.
The investment includes more space and new equipment at Thompson's LMC Technik reaction injection molding plant in Houghton-le-Spring, England.
Thompson's rotational molding subsidiary, ARM Plastics Ltd. of Pontycymer, Wales, also will receive new equipment. The company gave no details of the equipment already on order, which should be running by May.