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[April 2004]
Sanitec to Close Sanker Plant
On 26 March 2004 the management of Sanker Spol s.r.o. informed its Works Council that due to Sanker's accumulating losses, it intended to close the production plant at Nitra in Slovakia. Following closure, Sanker will proceed to a collective lay-off procedure.
The company said that, despite the best efforts of employees to improve profitability, the plant has operated with unacceptable losses for a number of years. The design of the factory has proven not to meet the requirements of the Sanitec production network and therefore the group feels that a turnaround is unlikely.
Consequently, Sanitec Corporation has decided to no longer finance losses and investments in Sanker and so will reduce its ceramic sanitaryware production capacity in Europe.
Sanker is an indirect subsidiary of Sanitec Corp and employs 174 persons. Sanker has produced its ceramic sanitaryware products mainly for the Slovak market. Sanitec said that customers would be properly supplied following this decision, firstly from Sanker stock and then by other sources within the Sanitec production network.
ENDS