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NSN Transfers to Jabil

Two Italian manufacturing operations of Nokia Siemens Networks to be transferred to Jabil

October 19, 2007

2 Min Read

MILAN, Italy -- Nokia Siemens Networks Italy has signed a contract for the transfer of the manufacturing functions of its Cassina de’ Pecchi and Marcianise facilities to Jabil Circuit Italy, upon completion of the legal asset transfer procedure. Having received European Union (EU) antitrust authorities approval, the agreement will be effective presumably on November 1st; at the same time, the two companies also signed a long term manufacturing agreement.

Nokia Siemens Networks Italy announced it has signed with Jabil Circuit an agreement for the transfer of the manufacturing operations in Cassina de Pecchi (Mi) and Marcianise (Ce).

Having received EU antitrust authorities approval, the agreement is expected to become effective on November 1st. Employees currently working at both locations will transfer to their new employer at equivalent terms and conditions.

The Marcianise site employs 336 and its main manufacturing lines are GSM and Edge Radio Access, while the Cassina site employs 276 and manufactures microwave devices for wireline and wireless networks.

Jabil, a global electronic solutions company will take over the management of the two manufacturing units whose activity will continue on the same sites for which Jabil has signed a lease agreement with Nokia Siemens Networks. Jabil is currently a manufacturing partner of the parent companies of Nokia Siemens Networks and will utilize all its manufacturing sites for production of the telecommunication products.

“The signature of this agreement confirms a long-term partnership which will offer Nokia Siemens Networks the opportunity to compete in the highly complex and competitive telecommunication market and optimize overall manufacturing capabilities in a time when global competition results in intense cost pressure,” said Herbert Merz, Head of Operations at Nokia Siemens Networks. “Moreover, we are also able to preserve the whole value chain in Italy, securing important high-tech manufacturing jobs while achieving flexibility for our future development.”

Jabil Circuit Inc. (NYSE: JBL)

Nokia Networks

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