Following what the company's board calls a ‘considerable decline in business performance’ during the first half of this year, Q-Cells SE has announced a set of measures designed to improve performance.
First, the company plans to shut down its Thalheim, Germany, production plant. Approximately 500 jobs will be cut.
Q-Cells notes that as a result of the oversupply of silicon wafers, the market price has recently been below the price level that Q-Cells agreed on with its suppliers in its contracts for 2009. Additionally, the cost structure of the older-generation production line produced at the Thalheim location is 30% above the usually accepted level in international competition, according to the company.
In addition, Q-Cells says it is focusing its research in the solar cell sector on ‘projects that are marketable and where success can be expected in the short to medium term.’ Within its technology portfolio, the company will focus on the thin-film companies Solibro (in the CIGS sector) and Calyxo (in the CdTe sector).
Q-Cells also plans to bolster in-house financing. All investment projects, especially those for 2010, will be reviewed again, and the capital commitment in projects and stocks will be reduced, the company says.
SOURCE: Q-Cells SE