Park to Restructure European Business Units
Park Electrochemical Corp. has announced that its Neltec Europe SAS and Neltec SA business units are proposing to restructure their operations. As a result, Neltec Europe SAS, Park’s digital electronic materials business unit located in Mirebeau, France, is proposing to close its operations completely and, in accordance with French law, has commenced an information and consultation process with its employees.
Although Park intends to fully continue the operations of its Neltec SA RF/microwave electronic materials business unit located in Lannemezan, France, the proposed European restructuring does include a reorganization of certain of the activities of Neltec SA. Neltec Europe SAS is proposing to close its operations in response to the very serious erosion of the markets for digital electronic materials in Europe and the migration of such markets to Asia. The market for such products in Europe has eroded to the point where Park believes it is not possible for the Neltec Europe SAS business to be viable.
If the closure of the Neltec Europe SAS operations is implemented as proposed, Park plans to supply and fully support all existing Neltec Europe SAS customers from its electronic materials operations located in the United States. The proposed reorganization of certain Neltec SA activities is not expected to affect its service or ability to support its customers around the world. At this time, the proposed restructuring plans do not contemplate the loss of material amounts of business by Park.