Electronics Production | December 15, 2008
MHS Electronics in receivership
MHS Electronics, which was created in 2005 by taking over the former facility of Atmel Nantes, has asked to be placed in receivership by the Commercial Court Nantes. An observation period of six months will be implemented.
The company already started cost reduction plans in July this year, following a decline in business activities. The cost-restructuring plan included the suspension or termination of research programs, the establishment of an efficiency program, as well as synergies with other companies. MHS Electronics was able to reduce costs significantly though this plan already, writes Electronique International. However, these results will be inadequate to counteract the impact of the current global economic downturn. MHS Electronics has consequently filed a request for a collective proceeding with the Tribunal de Commerce de Nantes on December 5, the report continues. MHS Electronics employs 370 employees, of which 250 are employed at the facility in Nantes.