News

Saint Jean Aero takeover RUAG plant in Plan-les-Ouates

RUAG and Saint Jean Industries implement the sale of the activities at the Plan-les-Ouates site

Plan-les-Ouates. On 31 May, RUAG and Saint Jean Industries have implemented the transaction for the Plan-les-Ouates site during a media orientation. For customers and the approximately 40 staff, the takeover by Saint Jean Industries means the continuation of business activities and also, the retention of jobs. The other RUAG activities - in western Switzerland at Geneva airport with RUAG Business Aviation, and in Nyon with RUAG Space - will continue.

The French family company Saint Jean Industries is specialised in the mechanical processing of cast components for the automobile sector. With the sale, the internationally oriented company, located in Belleville-sur-Saône, brings its core expertise into a new market segment – the aircraft engineering sector. Plan-les-Ouates will remain the centre for the manufacture of sophisticated titanium and nickel components for both civil and military aircraft.

Emile Di Serio, CEO of the Saint Jean Industries group, said: “We will now also apply our proven production methods and the know-how from the automobile industry to aircraft engineering. From this, we expect to achieve added value for our customers. Strengthening and expanding our business activities at Plan-les-Ouates are a priority. The location in Switzerland is attractive, and it is important to us.”

Dr. Viktor Häfeli, CEO of RUAG Technology, said: “We are very pleased that, with Saint Jean Industries, we have managed to come up with a solution which means continuity for the customers, gives the staff a long-term-prospect again, and stabilises the location.“

For aircraft structural engineering, RUAG relies on a strategy of focussing on high quality, profitable special products and niche applications, as well as risk minimisation. In relation to this, the turnaround in Plan-les-Ouates was unfortunately unsuccessful, in spite of intensive efforts, and it was not possible to operate the site profitably. In mid-2010, the board of directors decided to close down the Plan-les-Ouates site step by step by mid-2012, but remained open to purchase proposals. Related negotiations have now led to the arrangement with Saint Jean Industries.

The signing of the purchase agreement regarding the site has been received very favourably by Mr Pierre-François Unger, State Councillor for the Department of Regional Affairs, of Economy, and Health for the Canton of Geneva, who stated: "This is a significant success in the promotion of the economy in Geneva. I must congratulate the work related to the making of contacts and in negotiations, as well as the commitment of the Fondation d’Aide aux Entreprises, FAE (Business Support Foundation), which was central to the success of the operation. The transaction represents the saving of a cutting edge industry, and the retention and development in Geneva of a number of significant jobs with high added value. This allows the development of unique technical know-how in the aviation industry."

On 15 April 2011, RUAG and Saint Jean Industries had signed a purchase agreement, under which a consultation procedure was opened as per OR (Code of Obligations), article 333 ff. Now that this has been successfully completed, the transaction has been able to go ahead.

For further information please visit: www.ruag.com