Escatec looks back on difficult year

"We had to take measures during 2009 to reduce cost in order to adjust to a lower order rate from our customers. In many cases, our customers' revenues are running 10% or even 40% or more down from the previous year. Fortunately we entered the crisis with a fairly healthy order book and several new customers in ramp-up stages, so whilst we did have a large drop in sales from 2008 to 2009, we did not suffer as deep a drop in sales as the EMS industry on average", explained Escatec's COO Markus Walther. Nonetheless, the company had to implement 'some painful' restructuring including, retrenchments for the first time in its history in Switzerland and China. Escatec Switzerland was hardest hit by the recession. Various measures were taken, including work-time reduction, reorganization from two business units into one, and some retrenchments. "Core competences are intact, however, and we believe we are now optimally sized for the reduced revenue level and poised for the anticipated recovery", he continued in saying.