Nefab signs agreement with contract manufacturer in China
Nefab signs agreement with contract manufacturer in China Nefab has signed a cooperation agreement with a large global contract manufacturer in China. Nefab will deliver packaging material to a product within home electronics, which is manufactured by the contract manufacturer. The transaction is expected to increase Nefab's invoicing by about USD 11 M during the next 12 months. The agreement is a so-called VMI (Vendor Managed Inventory) contract. This means that Nefab operates the logistics hub from which packaging material is delivered "just-in-time" to the production line. The packaging material, comprising both consumer and transport packaging, is being procured from a number of selected suppliers. "This represents a breakthrough for Nefab in two respects," says Lars- Åke Rydh, President of Nefab. "This is the first time that a transaction of this size is based totally on our general packaging, service and logistics expertise, without involving the products we produce ourselves. Our aim to deliver a total solution rather than a single product has resulted in the proportion of service and nonproprietary products currently accounting for about 25% of Group invoicing," continues Rydh. "The transaction also represents a breakthrough regarding deliveries to the consumer products industry, where previously our presence was marginal." For further information, contact President and CEO Lars-Åke Rydh, tel +46-70-592 45 70, e-mail lars-ake.rydh@nefab.se or CFO Anna Stålenbring, tel +46-70-814 23 44, e-mail anna.stalenbring@nefab.se Jönköping, October 1, 2002 Lars-Åke Rydh President and CEO Information about Nefab Nefab delivers complete packaging solutions to international industrial groups, primarily within the telecom equipment and automotive industries. Nefab companies are located in Europe, North and South America and Asia. Invoiced sales in 2001 amounted to SEK 1.1 billion. The Nefab share is listed on Stockholmsbörsen. Nefab AB (publ) Östra Storgatan 20 . P O Box 2184 . SE-550 02 Jönköping . Sweden Telephone +46(0)36-345050 . Telefax +46(0)36-150444 . Organization No. 556226-8143 Homepage: www.nefab.se . E-mail: info@nefab.se The registered office of the board of directors is in Ovanåker, Sweden ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2002/10/01/20021001BIT00770/wkr0001.doc http://www.waymaker.net/bitonline/2002/10/01/20021001BIT00770/wkr0002.pdf