Glaston's Tamglass Unit Closes Auto Business to Focus on Architectural Glass - UPDATED

Glaston Corp. announced today that its subsidiary Tamglass Glass Processing will close its working machine and special automotive glass business and in turn enhance its architectural glass business. The closure will affect approximately 30 staff, according to a company press release. CLICK HERE to read the full release.

According to Agneta Selroos, Glaston corporate communications and IR manager, the subsidiary is the company's only unit that actually processes glass rather than supplying the glass processing machines. Today's announcement comes on the heels of another recent announcement that the subsidiary's losses had "significantly burdened the first quarter financial results for the Corporation and Tamglass Glass Processing has continued to operate in the red." (CLICK HERE for that July 16 press release.)

In January the group had decided that Tamglass Glass Processing was not a "core business" and had announced it would review "future strategic options."

Selroos reports that the closure "is in line with Glaston's strategy:

• Glaston is the architectural value chain integrator, supported by the emerging solar energy market (CLICK HERE for related story). Architectural is the base for profitable growth for Glaston.
• Appliances and automotive: focus on margin and cash flow."

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