Electronics Production | August 23, 2005
Flextronics, Nortel Complete<br> Transfer of Chateaudun
Flextronics and Nortel Networks Corporation has successfully completed the transfer of the manufacturing operations and related assets of Nortel's Systems House in Chateaudun, France, to Flextronics, as part of a previously announced agreement.
"Today marks another important milestone in the transfer of Nortel's manufacturing activities to Flextronics, and we are pleased to welcome the talented team at Chateaudun to our global workforce," said Michael Marks, Flextronics' Chief Executive Officer. "Together with the recently-transferred Systems House operations in Montreal, Canada, Optical Design operations, and parts of repair and reverse logistics in North America and Europe, we are well under way to completing this complex transaction, and we continue to increase our market strength in the telecom space. It is an exciting time for us to integrate this GSM/UMTS wireless facility into Flextronics, a business area that has long-term strategic value." "We are excited to reach another important milestone in our journey toward divesting manufacturing activities to Flextronics, a world-class electronics manufacturing services company, in order to strengthen our focus on areas that offer Nortel true competitive differentiation," said Sue Spradley, president, Global Services and Operations, Nortel. "We are pleased with the progress of the Chateaudun transition and look forward to continuing our work toward a successful completion of this initiative." Both companies are working towards closing the balance of the agreement in multiple phases during Flextronics' fiscal year ending March 31, 2006. Completion of the transaction is subject to the implementation of systems and processes and to the completion of required information.