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Polestar to Reduce Capacity at East Kilbride

Press release from the issuing company

April 5, 2004 -- The Polestar Group has today announced a proposal to downsize its East Kilbride facility, with the decommissioning of the company's two presses as well as one of its three Targetbound demographic binding lines. This reduction in capacity will result in 91 redundancies. Employees have also been notified of the likelihood of a proposal to close the business in total at some stage, although no final decision has been made. The CTP equipment, the Rotoman N press and the Targetbound line are likely to be transferred to other Polestar sites in the UK and Hungary and opportunities for suitable alternative employment within the Group will be explored. The consultation process with unions and employees over the proposal will begin immediately, with the process to be completed by 14th May 2004. Polestar East Kilbride is Scotland's largest web offset printer and handles a range of commercial and contractual work for both international and national organisations. Its largest customer, Viking Office Products, is a Group-wide account, with Polestar Révai in Hungary handling the production and distribution of its catalogues across continental Europe. Jim Mellon, managing director of Polestar East Kilbride, will retain key account responsibilities for Viking.