Restructuring costs to push German PVA Tepla into op loss in 2013

(SeeNews) - Jun 4, 2013 - German technology firm PVA Tepla (ETR:TPE) said today it will not reach the targeted positive result before interest and tax for 2013 because of a new cost reduction programme.

The firm plans to reduce its staff by 80 at its sites in Wettenberg and Jena. PVA Tepla has to cut its capacity and fixed costs because the expected recovery in demand still has not taken place.

The restructuring costs and additional write-downs in the solar system division will push down the company's figures by about EUR 6 million (USD 7.8m) in 2013. Yet, the measures are expected to generate savings of around EUR 4 million in the following years.

PVA Tepla forecast in March a positive result before interest and tax for 2013 and revenue of between EUR 90 million and EUR 100 million.

(EUR 1.0 = USD 1.306)

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