Scanfil Oyj - Company Announcement

SCANFIL TO RESTRUCTURE OPERATIONS IN CHINA

SCANFIL PLC    STOCK EXCHANGE RELEASE       27 JUNE  2016   2.30  P.M.

SCANFIL TO RESTRUCTURE OPERATIONS IN CHINA

Scanfil announced in the Interim Report on 29 April 2016 that measures to
eliminate overlap and streamline the factory network have been started in
China. As an outcome of these measures Scanfil Sweden AB’s Chinese subsidiary,
Partnertech Electronics Co., Ltd. has on 27 June 2016 decided to cease the
production at Dongguang plant in China. Production at Dongguang plant is
estimated to end during the third quarter of 2016. Turnover of Partnertech
Electronics Co., Ltd in 2015 was about EUR 19.5 million and operating loss
about EUR 1.1 million. Part of the customer accounts of Dongguang will continue
at Scanfil plants in Hangzhou and Suzhou. 

Non-recurring costs related to the closure of the production is estimated to be
approximately EUR 2 million. The respective negative cash impact is estimated
at approximately EUR 1 million. Corresponding cost provision will be recognized
in the second quarter of 2016. 



SCANFIL PLC

Petteri Jokitalo
CEO

Additional information:
CEO Petteri Jokitalo
Tel +358 8 4882 111


Distribution         NASDAQ OMX, Helsinki
                         Major Media
                         www.scanfil.com

Scanfil is an international contract manufacturer and system supplier for the
electronics industry with 40 years of experience in demanding contract
manufacturing. Scanfil provides its customers with an extensive array of
services, ranging from product design to product manufacturing, material
procurement and logistics solutions. Vertically integrated production and a
comprehensive supply chain are the foundation of Scanfil’s competitive
advantages: speed, flexibility and reliability. 

Typical Scanfil products include mobile and communications network devices,
automation system modules, frequency converters, lift control systems,
analysers, various slot and vending machines, and devices related to medical
technology and meteorology. Scanfil services are used by numerous international
automation, energy, IT and health service providers, as well as companies
operating in the field of urbanisation. Scanfil’s network of factories consists
of 13 production units in Europe, Asia and North America. The total number of
employees is 3,800.