Lemminkäinen consolidates its internal support services in Finland

In accordance with its strategy, Lemminkäinen is adopting a more centralised operating model for its internal support services in Finland. In connection with the change of operating model, Lemminkäinen is commencing statutory co-determination negotiations concerning an estimated reduction of 100 employees. The possible personnel reductions will take place during 2011.

The new operating model enables Lemminkäinen’s business units to focus more clearly on their core businesses, with a cost-effective support from a diverse range of high-quality shared services. The new operating model for shared services will be phased into use from the beginning of 2011, and it will include financial administration, ICT, HR, communications and marketing as well as local business-specific internal services. The legal affairs function already adopted a more consolidated operating model at the beginning of 2010.

“Our strategy is to build one united Lemminkäinen. We believe that closer internal co-operation will give us a competitive edge and enable us to improve our profitability,” states President & CEO Timo Kohtamäki. ”We have this year clarified our company structure by merging several of our subsidiaries. This naturally makes it easier to now develop a more consolidated operating model for internal support services. Unfortunately, the development and improvement of operational efficiency will require a reduction in the number of people working in support services.”

For further information, please contact:

Timo Kohtamäki, President and CEO, Lemminkäinen Corporation
Tel. +358 2071 53263