Marimekko Corporation STOCK EXCHANGE RELEASE
7 October 2009 at 9.00 a.m.
MARIMEKKO CONCLUDES STATUTORY EMPLOYER-EMPLOYEE NEGOTIATIONS REGARDING
OPERATIONS IN FINLAND
Marimekko Corporation has concluded its Group-wide statutory employer-employee
negotiations regarding a permanent reduction in the number of employees and
possible temporary lay-offs in Finland. The negotiations were started in August
2009.
Reorganisation of functions and rationalisation of operations will result in the
elimination of 35 positions. Moreover, the company needs to fill 8 new
positions; where possible, these positions will be filled by internal transfers.
It was estimated in the negotiation proposal that the maximum number of
permanent reductions would not exceed 35 employees. Temporary lay-offs have been
rejected for the remainder of 2009, but certain functions will be prepared for
possible lay-offs until 31 May 2010. The continuity of the company's three own
production facilities in Finland will be ensured by measures that improve the
production structure and profitability of operations.
The personnel cutbacks and other measures to be taken are expected to bring
annual cost savings of approximately EUR 1.5 million in total. The annual costs
of the new positions are estimated at about EUR 0.4 million. In connection with
the personnel cutbacks, the company makes a non-recurring cost provision of EUR
0.8 million for the third quarter of 2009.
“We believe that these measures will improve our capacity to develop our
operations, and we will continue our long-term investments in product
development and internationalisation. In-house production provides an important
competitive edge, and its continuation in Finland is a key objective for us,”
says Mika Ihamuotila, the company's President and CEO.
For additional information, please contact:
Mika Ihamuotila, President and CEO, tel. +358 9 758 71
Thomas Ekström, CFO, tel. +358 9 758 7261
MARIMEKKO CORPORATION
Group Communications
Piia Pakarinen
Tel. +358 9 758 7293
Fax +358 9 755 3051
Email: piia.pakarinen@marimekko.fi
Distribution:
NASDAQ OMX Helsinki
Principal media
Marimekko's website www.marimekko.com
Marimekko is a leading Finnish textile and clothing design company established
in 1951, especially renowned for its unique use of patterns and colours. The
company designs, manufactures, and markets high-quality clothing, interior
decoration textiles, bags and other accessories. Marimekko products are sold in
over 40 countries. Marimekko products are also manufactured under licence in
various countries. In 2008, the company's net sales amounted to EUR 81.1
million, of which exports and income from international operations accounted for
27.0%. The Group employs about 410 people. The company's share is quoted on the
NASDAQ OMX Helsinki Ltd.
MARIMEKKO CONCLUDES STATUTORY EMPLOYER-EMPLOYEE NEGOTIATIONS REGARDING OPERATIONS IN FINLAND
| Source: Marimekko Oyj
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