New project for Leoni in South Korea

Leoni will deliver cable harnesses for a new car entering the market in 2015. This project will help Leoni’s progress in realising the turnaround of its Korean business. The manufacturer plans to produce it in Korea for the local market as well as for Europe and other regions in the world. Leoni estimates that the total lifetime turnover for the project will sum up to approximately EUR 75 million. Leoni’s South Korean entity has been established out of the former local wiring harness manufacturer Daekyeung, fully taken over at the beginning of 2012. Due to higher integration and start-up costs, restructuring expenses and weaker operating performance, the earning contribution was negative in the last year. The management expects a neutral result in 2013. “The new order from Ssangyong will contribute to the positive development of the business in the mid-term perspective”, says Dr. Andreas Brand, member of Leoni AG’s Management Board in charge of the Wiring Systems Division.