Swedish home-appliance maker AB Electrolux will close its plant in Nuremberg, Germany, by the end of 2007, transferring production to Poland and Italy and eliminating 1,750 jobs.
Production of washing machines and driers at the factory will be phased out and transferred to Italy and Poland with a complete shutdown scheduled for the end of 2007.
“This was one of the most difficult decisions I ever experienced during my time at Electrolux. I am aware that this decision will affect, in a very negative way, many individuals, their families and relatives,” said Johan Bygge, the head of the company’s major appliances unit for Europe, Asia and the Pacific. “However, we finally had to conclude that there is no way to bridge the large cost gap that would make production in Nuremberg competitive.”
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