Getinge continues to enhance its operational efficiency and provides updated earnings forecast for the 2010 financial year
Getinge 11 January, 2011
For the fourth quarter of 2010, the Getinge Group will make further provisions for planned restructuring in addition to those already announced. Restructuring expenses for the fourth quarter of 2010 will total SEK 117 million. Of this amount, SEK 9 million pertains to the integration of Datascope. The remaining provisions for additional restructuring activities in the fourth quarter, amounting to SEK 108 million, pertain to the Medical Systems business area. In total, restructuring expenses for the 2010 financial year will amount to SEK 180 million.
Medical Systems intends to comprehensively restructure the production of perfusion products (ventilators, tubing sets etc.) in Germany. As a result of the restructuring project, the production unit in Hirrlingen will be closed, as will the logistics centre in the German city of Hechingen. The business area’s production in Antalya, Turkey, will be expanded to take over further production from Germany. After the restructuring project has been implemented in its entirety at the beginning of 2012, operations will be concentrated to two production units: Hechingen for machine-based production and Antalya for more manual production. In future, logistics and inventory will be handled by an external partner. The business area has started negotiations with the personnel at the units affected by the restructuring project. The restructuring of the perfusion operations is expected to lead to annual savings of approximately SEK 60 million as of 2012.
Also taking into consideration further restructuring expenses of approximately SEK 108 million that will be charged to the 2010 financial year, the Group expects pre-tax earnings to amount to slightly more than SEK 3,100 million, which is in line with the earnings forecast provided in conjunction with the report for the third quarter.
For further information:
Johan Malmquist, President and CEO
Ulf Grunander, CFO
Telephone: +46 (0)10-335 00 00