STOCKHOLM, Sweden, July 24, 2003 (PRIMEZONE) -- Boliden's (TSE:BLS) (Other OTC:BDNNF) British brass company, Boliden MKM Limited, proposes to concentrate production of brass rods to its production site in Aldridge, Birmingham. The production site in West Bromwich will therefore be closed. The concentration of production to one site will create annual cost synergies of GBP 3 million.
Following the acquisition of Cerro Extruded Metals Limited operations from the Marmon Group Limited on June 30, 2003 a review of the feasibility of production on one site only has been carried out.
The result of the review shows that the merged business with a single site operation would create annual cost synergies of GBP 3 million. Approximately 140 employees will become redundant as a result of the proposal to concentrate production. Consultation with employees and their representatives will commence immediately.
Full effects of the cost synergies are created when the concentration of production is completed which is expected from 2004.
For further information, please contact:
Jan Johansson, President and CEO Boliden AB, telephone +46 8 610 1602, +46 70 555 02 02 Bengt Olof Johansson, Vice President Business Area Fabrication, telephone +46 70 217 69 89 Ulf Soderstrom, Vice President Public Relations, telephone +46 8 610 15 57, +46 70 618 95 95
Boliden is an international mining and metal-producing company that mines, processes and markets copper, zinc, lead, gold and silver. Boliden owns seven mines and two smelting plants in Sweden and one mine in Canada. The range of activities also includes sales of technology. Copper and brass products are manufactured at plants in Europe. The number of employees is approximately 3 800 and the turnover amounts to approximately 10 billion SEK annually. The Boliden share is quoted on the Stockholm Stock Exchange in Sweden as well as on the Toronto Stock Exchange in Canada. www.boliden.com
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