|
|||
2014-05-06 08:00:00 CEST 2014-05-06 08:00:02 CEST REGULATED INFORMATION Tieto Oyj - Company AnnouncementTieto’s Product Development Services unit to announce personnel negotiationsTieto Corporation STOCK EXCHANGE RELEASE 6 May 2014, 9.00 am EET Tieto's Product Development Services (PDS) unit initiates measures to maintain its healthy cost structure during the current volatile customer demand situation. In addition to immediate cost savings measures, Tieto aims to reduce a total of 180 positions globally from its PDS business. Of the redundancies, 70 are anticipated to materialize in Finland, 30 in Sweden, and 80 in other countries. “Market situation for product development services continues to be very challenging and volatility is high. These actions we are announcing today are needed for PDS to adjust capacity to the current demand. The immediate costs saving actions are necessary to manage our business in a responsible manner and maintain our ability to build a long-term sustainable product development services business,” says Antti Vasara, EVP, Product Development Services. In each country, Tieto will follow the local legislation and practices in the process. In Finland and Sweden, the company will start the process by making a proposal to employee representatives on 6 May 2014. On 25 April, Tieto announced its first-quarter results with continued profitability improvement and organic growth of 3% in IT services. In PDS, volatility continued and sales were declining in the first quarter. These negotiations are part of the restructuring measures Tieto referred to in the interim report. In 2014 overall, Tieto's restructuring needs will be based on potential overcapacity in selected businesses, automation and the need to realign the company's competence base. For further information, please contact: Antti Vasara, Executive Vice President, Tieto Product Development Services, Tel. +358 2072 010, antti.vasara (at) tieto.com Investors: Lasse Heinonen, CFO, tel. +358 2072 66329, +358 50 393 4950, lasse.heinonen (at) tieto.com TIETO CORPORATION DISTRIBUTION NASDAQ OMX Helsinki NASDAQ OMX Stockholm Principal Media Tieto is the largest Nordic IT services company providing full life-cycle services for both the private and public sectors and product development services in the field of communications and embedded technologies. The company has global presence through its product development business and global delivery centres. Tieto is committed to developing enterprises and society through IT by realizing new opportunities in customers' business transformation. At Tieto, we believe in professional development and results. Founded 1968, headquartered in Helsinki, Finland and with approximately 14 000 experts, the company operates in over 20 countries with net sales of approximately EUR 1.6 billion. Tieto's shares are listed on NASDAQ OMX in Helsinki and Stockholm. Please visit www.tieto.com for more information. |
|||
|