Meyer Burger: Decisive moves at Colorado Springs plant

Swiss PV equipment producer Meyer Burger have made strategic decisions with regards to their TPC Diamond Materials Tech, Inc. (DMT) in Colorado Springs. DMT is reacting to the strong continuing global price pressure and margins for diamond wire volume production for the PV sector. This decision will see the laying off of 46 employees at the TPC site in Colorado Springs.

Meyer Burger will also shift its focus away from PV towards highly-specialized industries for its diamond wire solutions. These measures coupled with previous implemented strategies made at Colorado Springs, will see Meyer Burger decreasing its operating cost base by more than US$6 million in the 2016 financial year compared to the level at the beginning of 2015. The company is banking on DMT to return to "sustainable profitability with an optimized cost structure adjusted to reflect business volume".

The measure will lead to a one-time non-cash write-off of technology and production equipment in the order of $16.9 million, which will be charged to the income statement 2015.