Company News, 2011-05-13, 02:00 PM
Supervisory Board approves plans for strategic development of ThyssenKrupp
At its meeting today the Supervisory Board of ThyssenKrupp AG approved in full the plans of the Executive Board for the further strategic development of the Group.
The company announced an extensive package of measures on May 5. They include a focusing of the portfolio affecting sales of around €10 billion and roughly 35,000 employees:
･ Completion of the ongoing disposal processes for ThyssenKrupp Metal Forming and ThyssenKrupp Xervon.
･ Implementation of the strategic partnership between Abu Dhabi Mar and ThyssenKrupp Marine Systems.
･ Sale of ThyssenKrupp Waupaca as part of a best-owner solution.
･ Divestment of ThyssenKrupp Tailored Blanks as part of a best-owner solution.
･ Combining the chassis activities of the Bilstein group and Presta Steering.
･ Sale of the springs and stabilizers business and the Brazilian Automotive Systems business as part of a best-owner solution.
･ Independence of the activities of the Stainless Global business area. Examination of all options for continuing the activities outside the Group.
The focusing affects businesses for which alternative strategic options are more viable. It ensures that ThyssenKrupp will be able to participate successfully in future growth, including particularly in the emerging markets. Dr. Heinrich Hiesinger, Executive Board Chairman of ThyssenKrupp AG: “The Supervisory Board’s decision clears the way to move ThyssenKrupp forward competitively and sustainably. That means reducing our debt, enabling growth, generating income and creating value for our company. My special thanks go to the employee representatives, who have supported this development process constructively at all times.”
Under the strategic development measures the Group will make no compulsory redundancies. This is a very important message. If companies are sold, we will expect potential buyers to present a coherent business plan and make binding statements about the future of sites and jobs. As in the past, the employee representatives will be involved at an early stage in the implementation of individual portfolio measures. This and a number of other points have been agreed over the past few days by the Executive Board, Group Works Council and the IG Metall union, and corresponding agreements have been concluded.
Not just “more”, above all “better”
ThyssenKrupp wants to seize its opportunities going forward: The Group is part of a dynamic global environment characterized by demographic change, urbanization and globalization. Demand for consumer and capital goods, infrastructure, energies and raw materials is rising rapidly. This growing demand has to be balanced with the finite nature of our natural resources and the impact on our environment.
Dr. Hiesinger: “The world doesn’t just need “more”, above all it needs “better solutions” to meet this demand. That means more efficient use of energy and resources, improved infrastructure and more sustainable consumer and capital goods. With our outstanding engineering expertise we can satisfy both requirements: providing “better” ways to achieve “more”.
The implementation of the strategy will be managed through the new corporate program “impact”. Its aim is to mobilize and involve all operating units and provide a framework for the various themes. The key action areas are “Customers and Markets”, “Performance and Portfolio”, “Human Resources and Development”, and “Innovation and Technology”. The Executive Board is directly responsible for the program.