KEMIRA KEMI STARTS CO-DETERMINATION NEGOTIATIONS IN SWEDEN


 
The number of jobs will decrease by about 110 from the present 700, necessitating about 30 redundancies. Most of the reductions will be made through various pension arrangements.
 
The background to the co-determination negotiations in Sweden is a fairly permanent change that has taken place in the market situation. Total demand for potassium sulphate has been in decline for several years now because exports have slipped. Similarly, the markets for dicalcium phosphate have gradually shifted from northern Europe to the southern part of the continent, thereby weakening Kemira Kemi's competitiveness.
 
Kemira Kemi is aiming to halve potassium sulphate production from the present level and to discontinue production of dicalcium phosphate. The timetable for the changes is this autumn and next year. The above-mentioned production cutbacks will also show up in calcium chloride manufacture and in its raw materials supply chain. Accordingly, new arrangements will also have to be made for calcium chloride production.
 
Kemira has developed production at its plants in Sweden towards new products and during recent years has invested about a billion Swedish kronor (over EUR 108 million) in the production of hydrogen peroxide and sodium percarbonate. The manufacture of both products is increasing and they have a good market outlook. Sulphuric acid production has been stepped up too, and thanks to the plant's modern technology, it is one of the world's cleanest facilities for producing sulphuric acid.
 
For additional information, contact:
 
Kemira Kemi AB
Lennart Johansson, President
 
Ragnhild Ohlsson, Communications
Tel. +46 42 171 466  
gsm +46 737 191 466