NOTE to lay off 124 in Sweden

“Since early 2006, we have worked extensively on our unique forward-looking Nearsourcing business model, targeting a combination of volume growth and cost-efficient production for our customers. Our intention is to increase profitability, while simultaneously reducing the risks of our operations. These activities intensified after our new Board was appointed last spring,” commented Arne Forslund, NOTE’s CEO and President. “We increased our production capacity further last autumn, by starting up joint venture plants with Philippine EMS provider Ionics EMS in China and Fideltronik in Poland,” continued Mr. Forslund, “we’ve now built up the capacity and skills for continued growth, and to relocate more labour-intensive production to cost-efficient countries. Thus the headcount downsizing we are now conducting in our Swedish facilities at Skellefteå, Norrtälje, Skänninge and Lund is one consequence of our long-term strategy”. "The trend towards increased outsourcing of electronics production is a strong one, and we expect it to offer good growth opportunities on existing markets. Consistent with the start-up of our Nearsourcing operation in NOTE Oslo, we also intend to increase our presence on new geographical markets, which will contribute to further growth in the long term,” concluded Mr. Forslund.