Consolidation of Husqvarna Construction's Operations Within Concrete Surfaces and Floors

STOCKHOLM, August 23, 2017 /PRNewswire/ --

Together with the recent acquisitions of Diamond Tool Supply, Pullman Ermator and HTC, Husqvarna Construction is a market leader in the fast growing and attractive market segment for preparing and polishing concrete floors. To enhance customer support, better co-ordinate the operations overall and to support an acceleration of investments for growth Husqvarna Construction intends to, pending customary consultation processes, implement a number of structural changes.

"We are highly committed to invest and grow in this attractive market segment and provide the best total solution for our customers. Our overarching strategy is to accelerate growth by increasing investments, predominantly in sales, service and product development. To help fund these growth initiatives and better co-ordinate our operations overall we intend to implement some structural changes to increase our capabilities and to realize synergies" says Henric Andersson, President Husqvarna Construction Division.

Husqvarna Construction will continue to apply a multi-brand strategy but to a larger extent leveraging on the existing global back-end infrastructure in order to increase efficiency and capabilities. The proposed changes will put some 50 employees at risk, including closure of Pullman Ermator's sites in Smedjebacken, Sweden and Tampa, Florida, U.S.A.

The total cost for the changes is estimated to be approximately SEK 65m. The majority of these costs will be charged against the Construction Division's operating income in the third quarter 2017, and the remainder in the fourth quarter, and have an estimated 18-24 months' pay-back.

CONTACT:

For additional information, please contact

Henric Andersson, President Husqvarna Construction Division, +46-8-738-9133

Husqvarna Group press hotline +46-8-738-90-80 or [email protected]

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SOURCE Husqvarna AB