Altron eyes cost cuts in eurozone operations
Allied Electronics Corporation Limited (Altron), the JSE-listed electronics group, says it is looking at ways to streamline its business in Portugal and Spain as economic pressures in the eurozone continue to weigh on business.
According to an article in Business Day, Altron CEO Robert Venter, told delegates at the group’s annual general meeting that subsidiary, Powertech, would cut staff in Portugal to reduce costs.
He said he expected to finalise the process within six months.
Alcobre in Portugal, and Cables de Comunicaciones in Spain, provide cables to telecommunications operators.
“The cost-based process will result in the reduction in headcount,” Business Day reported Venter as saying.
Altron told BusinessTech that it was looking at ways to streamline its business under a difficult economic climate in Europe, adding that it was still early days which may or may not lead to staff reductions.
According to Altron, the group employs 92 and 187 people in Portugal and Spain, respectively.
Shares in Altron advanced 43 cents or 1.87% to R23.48 by close of play on the JSE, on Friday.
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