Wärtsilä Corporation Press Release 29.12.2004
Wärtsilä has today signed agreements with two Finnish companies for selling production machinery which will become available from Wärtsilä’s Turku factory.
Leinovalu Oy, a company operating in Salo in Finland, will invest in increasing the value added of its products by purchasing part of the FMS (Flexible Manufacturing System) machining line of Wärtsilä's Turku factory.
Chairman of the Board of Directors Heikki Leino from Leinovalu Oy explains the investment decision based on the fact that the customers increasingly require finished, machined components that are ready to install. A substantial part of the products delivered by the company are already machined. This investment decision strengthens Leinovalu’s possibilities to further develop its machining operations.
AA Fabricating Oy, a company specializing in producing machine shop services, purchases machinery and equipments related to the manufacturing of special bolts and nuts from Wärtsilä. The company is established by MSc (Eng.) Ari Anonen, an employee of Imatra Steel, the Imatra Region Development Company and Imatra Steel Oy Ab. Imatra Steel will start the processing of raw materials to finished end products as a shareholder of the new company.
The machining equipment to be purchased by Leinovalu Oy and AA Fabricating Oy will become available, as Wärtsilä's production at the Turku factory will end at the turn of the year. The machining equipment purchases contain a lease agreement, allowing both companies to continue their operations on the premises of Wärtsilä’s Turku factory for a set period of time.
Leinovalu Oy and AA Fabricating Oy will offer work in all for about 10 employees laid off from Wärtsilä.
Leinovalu Oy, based in Salo, is a family company with more than 100 years of history. Leinovalu manufactures demanding steel and iron castings. The company specializes in the production of small batches and single items in the category of 100-5,000 kg/piece. Its range of customers comprises Finnish and North European top-class export companies. The number of employees is 160, and net sales amounts to EUR 15 million, of which the share of direct export is 30 per cent.
Imatra Steel is Wärtsilä’s special engineering steels company. Imatra Steel produces round, square and flat special steel bars, forged engine and front axle components. Its customers are European automotive and mechanical engineering industry.
Erkki Karvonen, Managing Director, Leinovalu Oy, tel. +358 (0) 40 516 0373
Kalevi Taavitsainen, General Manager, Imatra Steel, tel. +358 (0) 400 756 434
Erik Pettersson, VP, Engine Division, Wärtsilä, tel. +358 (0) 400 667 173