KW to reduce administrative staff as part of 2005 restructuring

Out of 21 operating mines within the structures of the firm, only 18 will still be operational by the end of 2005. "We are not merging the mines to close them down, but to improve their functioning. It is about higher profitability and ensuring greater job security. We will optimize production, investment and trade," explained KW president Maksymilian Klank. The reorganization will limit the level of output by 2.8 million tones of coal annually. "We should achieve a synergy effect. There is no threat that miners will lose their jobs, but administrative staff should expect reorganization," said Janusz Olszowski, president of Mining Chamber of Industry and Trade (GIP-H). KW announced it will close 2004 with a profit of zł.500 million. (Puls Biznesu, p. 6) M.M.