Alcan is proposing to restructure nine of its European sites in a move that will see downsizing and closures.
The restructuring would include the downsizing of four sites: Laffon in Italy, Kolin in the Czech Republic, Froges (pharmaceutical workshop) in France and Alcan Mass Transportation Systems (AMTS) business unit in Zurich, Switzerland.
And there would be two potential sales: Mercus and Froges (high purity business) in France as well as three plant closures: Flemalle in Belgium, Cruseilles in France, Garbagnate in Italy.
In Europe, there will be a proposed reduction of approximately 520 jobs, partially offset by the expected creation of 40 new jobs in France and Switzerland, as well as other additional jobs in Italy. Alcan presently employs 46,000 people in Europe.
Alcan also confirmed that it is to invest 22 million Euros at its Issoire plant in France, scheduled for 2005-2006 to increase its plate production capacity by 10% for the aerospace industry.
“This proposed restructuring is necessary to ensure Alcan’s competitiveness in the marketplace and to create favourable conditions for future growth and expansion. Maintaining competitiveness is the best insurance for long term sustainable employment,” said Travis Engen, President and Chief Executive Officer of Alcan Inc.