Zumtobel Group AG: Zumtobel Group to create shared plant in Dornbirn

Dornbirn, Austria (pta027/04.10.2017/14:30 UTC+2) Lighting group to make luminaire production facility at Dornbirn headquarters its lead plant for efficiency and future technology
- Shop floor employees from Tridonic's Färbergasse plant in Dornbirn to be integrated into Zumtobel Group luminaire plant in Schweizerstrasse over the next few years
- Tridonic Färbergasse facility to remain as head office, development centre and customer centre
- Management and Employees' Council working closely on multi-year program to support employees during the process
- Company to leverage additional efficiency potential by setting up Tridonic production lines at new Zumtobel Group plant in Nis, Serbia.
- The process will not involve compulsory redundancies.

The Zumtobel Group is introducing a further measure to optimise its production network and boost its competitiveness. To this end its two production plants in Dornbirn are to be merged at its headquarters location, where in future the company will be focusing on luminaire production. At the same time, the Tridonic production lines will be gradually transferred to the Group's new location in Nis, Serbia. In this way the Group is concentrating its highly qualified workforce at its main Dornbirn production plant, which is to become the lead plant for efficiency and future technology within the overall production network. In the course of the next few years, the shop floor employees at the Group's component subsidiary Tridonic are to be integrated into the Zumtobel Group's Dornbirn luminaire plant in Schweizerstrasse, where they will apply their expertise to the production of LED luminaires. The process will not involve compulsory redundancies.

Greater competitiveness through optimal alignment of the production network
With the future production of components in Serbia the lighting group is taking a further step in the strategic redirection of its global production network. In a market environment marked by high pressure on prices, particularly pronounced in the components segment, the Zumtobel Group is making use of its new production plant in Serbia to serve its core markets in Europe at optimal cost. Within the redirection of the global production network, the plant in Serbia will help boost the Group's competitiveness and give it the opportunity to respond more flexibly to changing market requirements. Through the gradual transfer of production capacities to Nis, the Components segment too stands to benefit in full from the Group's investment in Serbia, safeguarding Tridonic's future path to growth.

"With a single Zumtobel Group plant in Dornbirn we are creating a shared location for our entire shop floor workforce here and concentrating our expertise from both segments of the Group within one strong unit." said Christian Ranacher, SVP Human Resources Zumtobel Group and project leader. "At the same time, by setting up component production operations in Serbia we are taking an important step to boost our cost-effectiveness and competitiveness. Working closely with Employees' Council representatives, we have laid the foundations for the future incremental development of the Group in which we will be involving our employees very intensively over the next few years, as well as stewarding their progress. In this context it was important for us to find a responsible solution for the employees affected, for whom there will be no redundancies. We invite the shop floor employees at the Tridonic location to become part of the Zumtobel Group plant and to play an active part in shaping their own future. Our aim is to persuade every single employee to do so. Furthermore, this move also represents a clear commitment on our part to the Dornbirn location, where our main production plant will in future take an even clearer lead in terms of efficiency and future technologies."

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Emitter:	Zumtobel Group AG Höchster Straße 8 6850 Dornbirn Austria
Contact Person:	Harald Albrecht
Phone:	+43 (0)5572 509-1125
E-Mail:	Harald.Albrecht@zumtobelgroup.com
Website:	www.zumtobelgroup.com
ISIN(s):	AT0000837307 (Share)
Stock Exchange(s):	Vienna Stock Exchange (Official Trade)