BRUSSELS, Aug. 16, 2013 (RISI) - The Commercial Court of Compiègne has approved web offset press producer Goss International Europe's acquisition of part of Goss International France, currently in receivership, for Euro 2.4 million ($3.2 million). The decision was made in a hearing on July 26 and will lead to 300 job cuts, according to Georges Oganesoff at the CFDT union.
Goss International France has operations in Montataire, north of Paris, and in Nantes, in the west of the country. In Montataire, the firm has a press manufacturing facility as well as a development and support center. Press production there will cease and some 240 jobs will be cut, leaving 77 employees, according to Oganesoff. In Nantes, where the firm has a development center, some 60 jobs will be cut, leaving 46 employees, he added.
The management of Goss International France did not reply to a request for comment.
The Commercial Court of Compiègne placed Goss International France in receivership on April 3, giving the firm an observation period of six months. Oganesoff said the reasons for this included the company losing money for several years, a shrinking global market for its products and transfers of its orders to other factories within Goss International.
On September 4, there will be another hearing where it will be determined whether to prolong the firm's observation period under receivership or to place the company in liquidation, enabling the administrator to sell off what is left.
The employees have protested against the July 26 decision and plan to initiate a collective procedure in the Labor Court, but that will not be until September, Oganesoff said. In Montataire, some workers had set trash cans and wood on fire in late July, before and during the day of the court decision, Oganesoff said.
Goss International is part of the Shanghai Electric Group and supplies presses and finishing systems for magazine, newspaper, packaging, catalogue, direct mail and other printing applications. It is headquartered in Durham in the US, and has manufacturing centers in North America, Asia and Europe.