Nokian announces temporary layoff of 700 in car tyres

Nokian, Finland -- Nokian has agreed with labour representatives to temporarily lay off up to 700 production workers in the car tyre manufacturing facility in Nokia, Finland. The aim is to reduce inventory levels, following lower-than-predicted sales of tyres, while avoiding permanent dismissals.

In a statement, Nokian said, "The parties agreed that the operations and personnel related to the car tyre production will be gradually laid-off during 2005 and 2006. The company aims to avoid the anticipated dismissals of the personnel by lay-offs and other actions."

The statement continued, "The first lay-off week of the total of four weeks will be carried out during the week between Christmas and New Year and the remaining weeks during the spring 2006, if the need for that still exists. The lay-offs concern the maximum of 700 people in all personnel groups.

Separately, Nokian has scheduled a conference call with its chief executive, Kim Gran for Thursday 24 Nov. A spokeswoman told ERJ that the call is not linked to any Stock Exchange announcements, and the call is merely to give journalists and stock analysts who have been requesting interviews with Gran the opportunity to put their questions.