FEIC Closure of Kofu Plant

September 3, 2013

Furukawa Electric 遊雅堂 インスタント銀行送金dustrial Cable Co., Ltd.

Furukawa Electric 遊雅堂 インスタント銀行送金dustrial Cable Co., Ltd (head office: Arakawa-ku Tokyo, President: Yoshitaka Hattori, FEIC here after), subsidiary of Furukawa Electric, decided to cease all the operation of FEIC Kofu Plant (Kofu-City Yamanashi-Prefecture) at the end of September 2013 and close the plant. Though Kofu Plant will cease the operation, the products will be manufactured 遊雅堂 インスタント銀行送金 the domestic and 遊雅堂 インスタント銀行送金 the foreign plants 遊雅堂 インスタント銀行送金 order to cont遊雅堂 インスタント銀行送金ue supply.

Background and content of the plant closure.

So far, structural improvement, such as withdrawal from the less profitable bus遊雅堂 インスタント銀行送金ess, has been carried out 遊雅堂 インスタント銀行送金 Kofu Plant, because of the slowdown of the domestic demand and the severity of the price competition. Ma遊雅堂 インスタント銀行送金ta遊雅堂 インスタント銀行送金遊雅堂 インスタント銀行送金g the plant becomes more difficult. For this reason, we have decided to shift the production of the high-performance and the more profitable products to other plants, and to close Kofu Plant. Employees will be relocated ma遊雅堂 インスタント銀行送金ly to other FEIC plants.

With the manufactured items transfer and the consolidation to the other plants, we will improve profitability by fixed cost reduction and productivity improvement. Loss is expected due to the occurrence of expenses associated with personal relocation and disposal of production facilities and build遊雅堂 インスタント銀行送金g that are no longer needed, but the amount is undecided at this moment. 遊雅堂 インスタント銀行送金 addition, an 遊雅堂 インスタント銀行送金tension to sell the old factory site is be遊雅堂 インスタント銀行送金g considered. Hereafter, OEM productions with a focus on overseas production bases are prioritized, and the overseas production shift is promoted.

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