Multek Struggles Prompt Plant Closings, Possible Management Changes

摘要

Flextronics will reduce its PCB manufacturing footprint and take up to $225 million in one-time charges as it attempts to reverse losses at its Multek operations. "Our recent revenue declines have resulted in significant under-absorption of costs at some of our facilities, and while we see our business growing throughout fiscal 2014 driven by a new booking, some of our facilities will not be benefiting from this growth. We're, therefore, taking swift action to right-size and/or reduce our manufacturing footprint in order to position us for improved operational efficiency and profitability in the future," chief financial officer Paul Read told analysts on Jan. 23. The cuts will include factory closures, Read said. "The intention here is ... to take out some of the sites that are significantly underperforming."