Daewoo says closures forthcoming for three joint ventures

Daewoo-FSO says it is planning to close three of its car-component joint ventures, notably Spicer of Warsaw, Dongwon of Kozuchow, and JC Corporation ZSM of Wyszkow. Production at all three sites will be taken over by other Daewoo-FSO subsidiaries, while details of the transition, together with its costs, are still being determined. Pending a final decision about its future, Spicer's operations would be transferred to Zena, another Daewoo-FSO joint venture located in Wyszkow. The future of the other companies is still uncertain but should be clear in the first three months of 2001. Janusz Lach, Daewoo's restructuring consultant, has made assurances that these changes do not necessarily mean the companies will be liquidated, but could still exist at the plants where production would be transferred to. At the same time, Daewoo is in talks with foreign partners concerning two other companies: car-seat producer Tongheung, and electric components manufacturer Zaklad Elektrotechniki Motoryzacyjnej. (Puls Biznesu, p.4)