Müller Martini Faced with Long-term Reform of the Company
ZOFINGEN, SWITZERLAND—June 27, 2013—The Müller Martini Group is suffering from the difficult economic conditions and continuing structural change in the graphics industry. Although Müller Martini has successfully preserved its position as a market leader, revenues have fallen massively over the last four years. Müller Martini is therefore looking at a fundamental restructuring over the months ahead.
The aim of the reform of the company is to preserve its future role as a leader in the shrunken global graphics industry through innovative printing and print finishing products together with a high-quality customer service, and to put the company on a sustainable and future-oriented foundation. In addition, Müller Martini must adapt the size of the company to a scaled-back market to enable it to continue investing in future-oriented product developments.
Commitment to the industry in the contracted market
The reason behind the on-going difficult situation is the fundamental transformation of the graphics industry. The resultant consolidation among printing companies has significantly reduced the customer base. Many existing and potential customers are holding back on investment—or are being prevented from investing in new equipment due to the lack of credit. There is significant pressure on prices and margins; in addition the strong Swiss franc exchange rate is having a detrimental impact on profit margins.
“In order to survive in strong shape, we cannot avoid the need to operate on a smaller scale,” said CEO Bruno Müller. “However, by concentrating our forces, we will do our utmost to continue to intensify the comprehensive advice we provide to our customers on new investments and in particular in the service area. Our sales and service network regionalization program, which was initiated last year, gives us a good starting point in this context.”
Search for a solution started
Over the coming weeks the search for solutions will be focused on all manufacturing locations and areas of the group at home and abroad. This will include an in-depth look at consolidating the two main sites in Zofingen and Felben—which are not operating at sufficient capacity. In total, up to 550 jobs worldwide could be affected by the restructuring. A decision is expected in the next few months.
Source: Müller Martini.