KBA's layoffs early this year were in plants that built sheet-fed presses. Many thought web presses would make it through the recession OK, but it isn't working out that way. KBA has now announced that there will be hundreds of layoffs in its web-press plants.
More details and a link to the KBA press release are here:
Hundreds more to be laid off at KBA
(July 8, 2009 – G. Alexander) Early this year, press manufacturer KBA initiated a round of layoffs in its sheet-fed manufacturing operations, especially at the Radebeul plant. Now, with orders lagging for all types of presses, the layoffs are spreading to the newspaper and commercial web press manufacturing areas.
The company reports that while orders for sheetfed presses have picked up somewhat, orders for web presses have continued to slow. “Although KBA has increased its share of the newspaper press market to almost 50%, the volume of new orders has fallen well below the target for 2009. The situation in the commercial sector is even worse, buffeted as it is by price erosion, sliding ad revenues, regional overcapacity and banks’ credit squeeze,” the company states in a press release. “Global demand has halved, and merely hoping for better days is not a viable corporate strategy.”
Layoffs of “several hundred people” at plants in Frankenthal, Trennfeld, and Würzburg are anticipated. Those sites currently employ 3,170 workers.
More details and a link to the KBA press release are here:
Hundreds more to be laid off at KBA
(July 8, 2009 – G. Alexander) Early this year, press manufacturer KBA initiated a round of layoffs in its sheet-fed manufacturing operations, especially at the Radebeul plant. Now, with orders lagging for all types of presses, the layoffs are spreading to the newspaper and commercial web press manufacturing areas.
The company reports that while orders for sheetfed presses have picked up somewhat, orders for web presses have continued to slow. “Although KBA has increased its share of the newspaper press market to almost 50%, the volume of new orders has fallen well below the target for 2009. The situation in the commercial sector is even worse, buffeted as it is by price erosion, sliding ad revenues, regional overcapacity and banks’ credit squeeze,” the company states in a press release. “Global demand has halved, and merely hoping for better days is not a viable corporate strategy.”
Layoffs of “several hundred people” at plants in Frankenthal, Trennfeld, and Würzburg are anticipated. Those sites currently employ 3,170 workers.
