Stock Exchange Releases

The Tulikivi Group has concluded its codetermination talks


The Tulikivi Group has today concluded the codetermination talks
that were initiated in January. The talks are part of the Tulikivi
Corporation’s profitability improvement and concentration
programme, which aims to cut costs by roughly EUR 5 million

As a result of the talks, 79 persons will be made redundant, 11 of
whom are office staff. In addition, 41 people will be laid off, 8
of whom are office staff.

Under the profitability and concentration programme the Heinävesi
plant will be closely integrated into the company’s Fireplaces
Business. The plant will begin to concentrate on the
manufacturing of ceramic fireplaces, fireplace components and
cooking ware.

A centralised warehouse for purchase parts will be located at the
Juuka site. In addition, production profitability will be improved
by changing working hour models. The Group’s manufacturing of
lining stone will be concentrated in Suomussalmi. The possibility
of increasing the use of outsourced work for quarrying will also
be investigated.

The efficiency of Group administration and support functions will
be improved by streamlining operating processes and information

Personnel will also be laid off to adjust demand and the salaries
of the members of the Management Group will be lowered.

The personnel arrangements and retirement will reduce the
company’s personnel to about 550 persons (633 on 31 December

The company will achieve a substantial part of its targeted annual
savings of EUR 5 million with the measures now taken.

The reorganisation and personnel reduction will give rise to
approximately EUR 1.3 million in non-recurring costs, EUR 1.0
million of which will be wages and social security contributions.
The non-recurring costs will mostly be recorded for the first
quarter of this year.


Heikki Vauhkonen
Managing Director

Distribution: NASDAQ OMX Helsinki Ltd, key media,

Further information: Tulikivi Corporation, FIN-83900 Juuka,
Finland, tel. +358 207 636 000,
– Managing Director Heikki Vauhkonen