Electronics Production | May 26, 2009
Thales Aerospace to shut down French facilities for 2 weeks
The French Aerospace and Defense Electronics Group Thales is to close down its French faciltiies for 2 weeks during August this year.
The measure is aimed at saving monay and reduce inventories, the Wallstreet Journal reports. It is said that delays in the Beoing 787 airliner program is one of the reasons for the surplus inventory. Jean-Georges Malcor, Head of Thales' aerospace operations, stated that the divison is speeding up the implementation of measures to enhance competitiveness. He wants to avoid a margin squezze, as a large number of its suppliers are smaller companies. These may be threatened financially if pushed hard to ease terms, Mr Malcor is cited in saying. Thales will be looking at its entire supply chain - for savings and competitive advantages. The company currently has around 800 suppliers, a considerable decrease from the 4000 peak.