ROCHESTER HILLS, Mich., Aug. 11, 2010 (GLOBE NEWSWIRE) -- Energy Conversion Devices, Inc. (ECD) (Nasdaq:ENER), the leading global manufacturer of thin-film flexible solar laminate products for the building-integrated and commercial rooftop markets, today announced that it is realigning solar manufacturing capacity in its United Solar business among its existing facilities as part of its overall cost reduction activities. Effective in the fall of 2010, the company will shift certain final assembly operations from its Auburn Hills, Michigan campus to its Tijuana, Mexico facility. The company will continue to manufacture its proprietary solar cells at the Auburn Hills campus.
Mark Morelli, ECD's President and Chief Executive Officer, said, "We are aggressively reducing our cost structure to operate more effectively in the highly-competitive, global solar market, and, through these actions, we will better utilize our existing capacity in Tijuana, without any additional capital costs. Our Auburn Hills campus remains an essential part of our manufacturing footprint for our solar cells. In fact, we are now retrofitting one of our Auburn Hills manufacturing lines with our next generation technology, and we expect to have this retrofitted line in commercial production in the spring of 2011."
The Auburn Hills actions will result in the elimination of approximately 140 jobs at that campus, and employees affected by these actions will receive severance and outplacement. The company also indicated that it will be adding personnel to its Tijuana facility, including rehiring personnel who had previously been terminated due to global market conditions.
About Energy Conversion Devices
Energy Conversion Devices is a leader in building-integrated and rooftop photovoltaics. The company manufactures, sells and installs thin-film solar laminates that convert sunlight to energy using proprietary technology. ECD's UNI-SOLAR® brand products are unique because of their flexibility, light weight, ease of installation, durability, and real-world efficiency. Through its Solar Integrated Technologies business, the company also designs, manufactures and installs rooftop photovoltaic systems which enable customers to transform unused space on the rooftop into a value-generating asset. In addition, ECD's Ovonic Materials Division is the pioneer in NiMH battery technology, and is developing low cost fuel cells, hydrogen production from bioreformation, and hydrogen storage technologies. For more information, please visit www.energyconversiondevices.com.
This release may contain forward-looking statements within the meaning of the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements concerning our plans, objectives, goals, strategies, future events, future net sales or performance, capital expenditures, financing needs, plans or intentions relating to expansions, business trends and other information that is not historical information. All forward-looking statements are based upon information available to us on the date of this release and are subject to risks, uncertainties and other factors, many of which are outside of our control, that could cause actual results to differ materially from the results discussed in the forward-looking statements. Risks that could cause such results to differ include: our ability to maintain our customer relationships; the worldwide demand for electricity and the market for solar energy; the supply and price of components and raw materials for our products; our customers' ability to access the capital needed to finance the purchase of our products; and risks associated with integrating Solar Integrated Technologies, Inc. The risk factors identified in the ECD filings with the Securities and Exchange Commission, including the company's most recent Annual Report on Form 10-K and most recent Quarterly Report on Form 10-Q, could impact any forward-looking statements contained in this release.