logo
Share SHARE
FONT-SIZE Plus   Neg

First Solar To Close Manufacturing Opns. In Frankfurt - Quick Facts

First Solar, Inc. (FSLR) said it is restructuring its operations in response to deteriorating market conditions in Europe and to reduce costs and align its organization with sustainable market opportunities.

As part of the above program, the company will close its manufacturing operations in Frankfurt (Oder), Germany, in the fourth quarter of 2012. Besides, First Solar will indefinitely idle four production lines at its manufacturing center in Kulim, Malaysia, on May 1, 2012.

According to the company, the above actions, combined with other personnel reductions in Europe and U.S., will reduce its global workforce by around 2,000 positions, about 30 percent of the total.

The restructuring initiatives are expected to reduce First Solar's costs by $30-60 million in 2012 and $100-120 million annually going forward. Also, the company's average manufacturing cost is expected to improve to $0.70-$0.72 per watt in 2012 as a result of the changes, below prior expectations of $0.74 per watt. In 2013, the company estimates that average module manufacturing costs will range from $0.60 to $0.64 per watt.

First Solar stated that to achieve cost savings, it will record restructuring and other related charges of $245-370 million, of which $80-120 million are cash expenditures. The company expects to incur charges primarily during the first quarter of 2012 and the rest over the course of this year.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
Alteryx, Inc., a provider of self-service data analytics software, is the latest tech company to go public in March. Alteryx said it has priced its IPO of 9 million shares of its Class A common stock at $14 per share, at the top end of its range of $12 to $14 per share. Dunkin' Donuts is bidding adieu to one of its frozen coffee beverages this summer. However, loyal fans of the decades-old menu staple have not taken kindly to the news. The coffee chain said it will discontinue its popular Coffee Coolatta beverage this summer and instead, introduce the new Frozen Dunkin' Coffee, made with coffee extract, sugar and milk. Canadian pipeline operator Enbridge Inc. said it will cut about 1,000 jobs, or six percent of its workforce, following the completion of its acquisition of Houston-based Spectra Energy Corp. The job cuts will take place across the merged company.
comments powered by Disqus
Follow RTT