RAUTE CORPORATION INSIDE INFORMATION JUNE 23, 2020 at 2:15 p.m.
COOPERATION NEGOTIATIONS CONCLUDED AT RAUTE
Negotiations in accordance with the Act on Co-operation within Undertakings, initiated on 15 June 2020, concerning temporary layoffs of salaried and senior salaried employees of Raute’s operations in Finland in Nastola, Lahti, and Kajaani, have been concluded. These negotiations concerned measures, the purpose of which was to adapt operations to the financial and production-related situation resulting from the declined order book and actions preventing work to be done due to the operational restrictions (e.g. in travelling) because of the coronavirus pandemic.
According to the reached negotiation solution the adaptations will concern all salaried and senior salaried employees of Raute Finland with a duration of at most 90 days. Temporary layoffs may be carried out either as a shortened working week or as a longer fixed period.
Raute Group's total headcount on 31 March 2020 was 767, of which 513 persons worked in Finland. These cooperation negotiations concerned the salaried and senior salaried employees of Raute Finland, totally 333 persons.
The initiated negotiations do not indicate any change in the previously disclosed outlook for 2020. Raute’s net sales for 2020 are expected to decrease compared to 2019 and operating profit is expected to weaken clearly year-on-year.
RAUTE CORPORATION
Tapani Kiiski
President and CEO
FURTHER INFORMATION:
Mr. Tapani Kiiski, President and CEO, mobile phone +358 400 814 148
Ms. Tarja Järvinen, Group Vice President, Finance, CFO, mobile phone +358 40 658 3562
DISTRIBUTION:
Nasdaq Helsinki Ltd, main media, www.raute.com
RAUTE IN BRIEF:
Raute is a technology and service company that operates worldwide. Raute’s customers are companies operating in the wood products industry that manufacture veneer, plywood, LVL (Laminated Veneer Lumber) and sawn timber. Its technology offering covers the entire production process for veneer, plywood and LVL and special measurement equipment for sawn timber. As a supplier of mill-scale projects, Raute is a global market leader both in the plywood and LVL industries. Additionally, Raute’s full-service concept includes technology services ranging from spare parts deliveries to regular maintenance and equipment modernizations. Raute’s head office is located in the Nastola area of Lahti, Finland. The company’s other production plants are located in Kajaani, Finland, the Vancouver area of Canada, the Shanghai area of China and in Pullman, Washington, USA. Raute’s net sales in 2019 were EUR 151.3 million. The Group’s headcount at the end of 2019 was 778. More information about the company can be found at www.raute.com.