YKK AP to Start New Saitama Plant in Summer 2010

YKK AP will start operation of new Saitama plant in summer of 2010. The firm tires to expand window business through the plant while the firm delayed the start from original plan in April 2009 due to very slow domestic building market. The firm also tries to expand offshore business for future growth.

The firm purchased land for the new plant for around 5.4 billion yen. The plant is preparing for the start but the start timing is decided depending on market condition. The firm expects the new plant contributes to higher sales for window business and efficient production.

The firm also expands the offshore business from estimated 1.5 billion yen of operating profit with 45 billion yen of sales in fiscal 2009 ending March 2010. The firm targets 63 billion yen of the sales in fiscal 2012 through expansion of facade business. The firm targets 18.9 billion yen of operating profit with 362.7 billion yen of sales for domestic and offshore construction material in fiscal 2012.

The firm tries to streamline the domestic construction material business under new 4-year plan started fiscal 2009. The firm improves the competitiveness through reshuffle of production sites, restructuring of logistics and marketing and development of new process for lower cost. The firm reduces the plants from current 34 to 24. The firm tries to realize 19.8 billion yen of better profit by fiscal 2012.