Restructuring in the UK

AssiDomän announces restructuring of UK corrugated operations AssiDomän has announced a restructuring of its corrugated operations in the UK. This is part of the current programme aiming at efficiency and profitability improvements within the AssiDomän group. Production of conventional corrugated packaging will be concentrated at AssiDomän Packaging´s plants in Northampton, Stalybridge and Yate. The manufacture of these products at Purfleet and Cumbernauld will cease. The specialist manufacturing operations in Purfleet and Cumbernauld will not be affected by these changes and will continue to trade as normal. The restructuring will be effected by the end of 1998. Resulting from these changes there will be a loss of 200 jobs at Purfleet and Cumbernauld. Consultations and negotiations with the trade unions will start immediately. "Through these changes we will achieve a more efficient and market oriented structure in the UK. Our strategy is to develop the corrugated board plants into megaplants or specialist factories. The restructuring measures will also have a positive effect on our results from the beginning of 1999", says Ulf Kilander, President of AssiDomän Packaging. AssiDomän´s turnover of the corrugated operations in the UK amounts to 1.7 billion SEK. The number of employees today is 1,270 people. AssiDomän AB Corporate Communications September 30, 1998 For further information: Ulf Kilander, President, AssiDomän Packaging, tel. no: +46 - (0)70 541 74 66.