Showa Denko, Japan, said that due to low demand in the home industry and the company's weak capital spending, the company will withdraw from the operation of aluminum extrusion materials.
Showa Denko indicated that it will close the production line by the end of this year and provide internal employees with voluntary retirement opportunities. However, due to staff redistribution and natural wear and tear, the company’s number of employees has decreased, so it has not set specific voluntary retirement targets.
It is reported that due to the suspension of production of the plant and the cancellation of related factories, Showa Denko expects to have a loss of 1.5 billion yen, and a loss of 3.7 billion yen due to employees' retirement pension. However, these loss data have been included in the earnings outlook for this fiscal year.