| Nextrom Holding SA, Switzerland, has recently announced its decision to wind-down the operations of its Toronto subsidiary, Ceeco Machinery Manufacturing Ltd, who supplies rotating and twinning equipment to the cable industry. Since Nextrom's policy in November 2000 to concentrate solely on its fibre optics related activities, it has been seeking to divest of the Ceeco business. Nextrom's recent decision to wind-down Ceeco's operations has been made after efforts to sell the company proved unsuccessful, mainly due to the severe economic downturn in the wire and cable industry.
Ceeco's spare parts and customer service activities will be transferred to Nextrom's subsidiary in Atlanta, who will ensure on-going after-sales and spare parts support for Ceeco's customers. In addition, Nextrom has decided to close its sales offices in Sao Paolo and Manchester and is investigating alternatives to reduce its investments in the photonics area. It also intends to complete the divestment of its rotating and twinning activity in Brazil. These measures reflect the last part of the restructuring plan announced at the end of August last year, in response to the deteriorating market situation.
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