STOCKHOLM, Sweden, Nov. 29, 2005 (PRIMEZONE) -- Fagersta Seco AB, a manufacturer of industrial tool bits and saw blades, is jointly owned (50-50) by Seco Tools AB and Erasteel Kloster AB. The company has 14 employees in Osterbybruk.
Because Fagersta Seco's operations are not consistent with the core business of its respective owners, negotiations have been initiated with Westlings Industri in Vansbro regarding the takeover of operations and production equipment. Westlings intends to conduct production on its own premises and to offer employment to the existing production staff in Fagersta Seco.
If the current plans are realized, production in Osterbybruk will cease as of July 1, 2006.
Westlings manufactures saw blades for the steelmaking, engineering and sawmill industries. Together with Sepson AB, a manufacturer of hydraulic and electric winches for vehicle mounting, the company is owned by AB Habeo. At present, AB Habeo and its subsidiaries have a total of 50 employees and an annual turnover of around SEK 90 million.
Fagersta, Sweden, November 29, 2005
SECO TOOLS AB; (publ)
Kai Warn, President and CEO
For additional information about Fagersta Seco contact Carola Liljestrand, HR Director, Erasteel Kloster AB, telephone +46 (0)223-543 80. For information about Westlings Industri AB contact Borje Vikstrom, President, telephone +46 (0)281-758 00.
Previously published financial information can be found under the heading "Investor Relations" on Seco Tools' website (www.secotools.com). Seco Tools AB's corporate registration number is 556071-1060 and the company's address is Seco Tools AB, SE-737 82 Fagersta, Sweden. The telephone number to the group head office is +46 (0)223-400 00.
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