Süd-Chemie (Schweiz) to cease production at end of year
The Administrative Board of Süd-Chemie (Schweiz) AG, Romont, after having carefully studied and discussed the proposals of the trade unions and the employees, has decided to close the company‘s production facility by the end of 2010 due to ongoing losses. The company is a joint venture between Süd-Chemie AG (51%), Munich, and PQH Holding (49%), Fribourg/Switzerland. Süd-Chemie AG will voluntarily provide funds for a redundancy programme for the 36 employees affected.
At its premises in Romont, Süd-Chemie (Schweiz) produces tubes for protective packaging for the pharmaceutical and nutraceutical industries. Since its foundation in 2006, the company has suffered from ongoing economically unviable operations and underemployed production capacities. The market situation was also affected by competition from East European low-price competitors and their products. For this reason, the Administrative Board had no choice but to cease production at Romont before the end of 2010. Following the closure, parts of the current production facilities will return to Süd-Chemie's production site in Romorantin/France.
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