UK site closure as part of structural reform
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Omron Corp is to dissolve its large size lcd backlight business and close two production sites – including its automotive facility in the UK.
In January, the 'Emergency measures and structural reform HQ' was established by president and ceo Hisao Sakuta (pictured), resulting in today's announced dissolution and closures.
Omron announced that there could be further cutbacks to come during what it has described as the 'revival stage'.
The dissolution of the large size backlight business has been blamed on stagnant sales of large sized lcd televisions and a decrease in the amount of consumer spending due to the financial downturn.
The closure of Omron Automotive Electronics UK (OUK) was blamed on poor performance amid worsening conditions brought on by the rapid downturn in the automotive market. Omron warned that it did not anticipate recovery in the foreseeable future and for this reason decided to review its production bases in Europe, coming to the decision to close OUK by the end of fiscal 2010.
