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[February 2002]
Johnson Matthey's Main Ceramic Centre in UK Could Close Soon
Johnson Matthey PLC has announced that it is considering the closure of its Colours & Coatings site in Uttoxeter Road, Meir, Stoke-on-Trent, Staffordshire in England. This step is being considered, says the group, because of the continuing decline in demand from the tableware sector and a need to rationalise production capacity. Production currently carried out on the Meir site would be redistributed to other sites in the Division. Johnson Matthey claims that there should be no impact on customers caused by the proposed changes in the location of production. In the event that the site in Meir does indeed close, final production runs will take place as early as the late summer this year. JM says that it is likely that over 300 jobs would be lost in total, the majority of which would be those from the Meir facility.
The total charge for the proposed rationalisation has been estimated by JM at £24 million. However, it adds, after the sale of assets, the rationalisation should be cash positive for the Division. JM expects savings of some £7 million per annum in the year commencing 1 April 2003.
ENDS