REG - Tata Steel Limited - Recovery plan for Tubes business in Europe

Wed Jan 25, 2012 7:50am EST

* Reuters is not responsible for the content in this press release.

RNS Number : 1585W
Tata Steel Limited
25 January 2012
 



25 January 2012

 

 

Tata Steel proposes recovery plan for Tubes business in Europe

 

Tata Steel's Tubes business in Europe has today announced a recovery plan to match business operations to current and projected market demand in the foreseeable future. The plan will focus on efficiency improvements and cost reductions with the aim of enabling the business to withstand the current weak economic conditions and restoring its profitability.

 

Four of the Company's Tubes sites in the UK and the Netherlands will be affected. There are anticipated to be 110 job losses at Corby in the UK and, in the Netherlands, 17 in Zwijndrecht, 28 in Maastricht and 45 in Oosterhout.

 

Remco Blaauw, Managing Director of Tata Steel's European tube business, said: "Our announcement today follows a detailed review of all our European tubes activities.  In response to the prolonged downturn in all European markets for tubes, and in the context of intense competition, the measures announced today are designed to bring these sites into a sustainable financial position.

 

"Our priority is to minimise the impact on our employees, and to assist affected colleagues through a difficult process. Our goal is to secure a sustainable tubes business which will not only weather the current economic storm, but can prosper in the future."

 

In the UK a full, formal 90-day consultation process will take place with Trade Unions and employee representatives, and with all affected employees on an individual basis. This announcement is subject to relevant consultation and approval rights within the Netherlands. The Company will explore all opportunities to re-deploy employees where practical and to assist those people leaving the business through a range of support services.

 

-ends-

 

For further information 

Bob Jones on +44 (0) 207 717 4532 or bob.jones@tatasteel.com

Andrew Mitchell on +44 (0) 207 404 5959 or amitchell@brunswickgroup.com

 

About Tata Steel in Europe

The European operations of Tata Steel (formerly known as Corus) comprise Europe's second largest steel producer. With main steelmaking operations in the UK and the Netherlands, they supply steel and related services to the construction, automotive, packaging, material handling and other demanding markets worldwide. Tata Steel is one of the world's top ten steel producers. The combined group has an aggregate crude steel capacity of more than 28 million tonnes and approximately 80,000 employees across four continents.

 


This information is provided by RNS
The company news service from the London Stock Exchange
 
END
 
 
MSCBAMTTMBITBLT
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.