HEERENVEEN, the Netherlands (April 24) - Europe's second largest bicycle manufacturer Dutch Accell Group NV considers to move all production activities to its new plant in Hungary, scheduled to start operations during this summer.
After its annual shareholders meeting Accell Group's chairman René Takens said he would keep all options open to reduce costs in order to maintain its margins and meet the European market forecasts in the near future. The new Hungary production facility, in which Accell invested € 4 million, will start with 100 employees to produce around 150,000 bikes at an annual basis. Momentarily German Hercules bikes and recently acquired Winora/Staiger brands are scheduled for production in Hungary. However, Takens stated at the recent shareholders meeting: "We own enough yet unused grounds over there to expand the production facilities, able to reach a maximum capacity of 800,000 units per year." This is roughly the same annual production number for the whole Accell Group (750,000 - 800,000 bicycles) today. Of course he refrained from mentioning any time schedule for this opportunity to realize this low cost option. "This is totally subject to European market demand in the next few years", Takens said.(FN)