NSG Group Announces Major Expansion of Automotive Glazing Capacity and Capability in Poland

The investment involves the construction of a new automotive glazing plant at Chmielow, located in a Special Economic Zone, 30 km south of the Group's existing facilities at Sandomierz. The new plant will be dedicated to the production of windshields, sidelight and backlights for cars and trucks.

The first phase of the investment will increase the Group's automotive windshield capacity in Poland by 1.7 million pieces a year, along with a significant expansion for delivering additional value-added products. A second phase addition of a toughening line will add further capacity for the manufacture of 4 to 5 million back and side lights annually.

The Group's financial investment in the project will be around JPY 10 billion (equivalent to PLN 350 million) The investment is to be supported by Polish government and European Union funding. Around 400 new jobs, in addition to those in outsourced services, will have been created by the time all operations begin production.

NSG Group President and CEO Craig Naylor said “Poland is an important market and operational centre for the Group, in which we have been present since 1993. We operate under the Pilkington brand in the Automotive OE, Automotive Aftermarket (AGR) and Building Products markets in Poland, currently employing around 1,800 people on 11 sites throughout the country.

This important new investment in our Automotive operations in Poland is intended both to expand our overall capacity in laminated and toughened parts and to enhance our capability to meet increasing demand for value-added products in the Automotive glazing sector”.

The new tertiary operation lines are due to come on stream in mid-calendar year 2011, with the secondary operation lines being commissioned from mid-2012 through to the end of calendar year 2013.