Electroputere didn’t give a reason for the layoffs. But this is not the first such measure in the past years. In the second half of 2012, Electroputere laid off 350 employees because of weak demand.
Electroputere is majority owned by Saudi Al-Arrab Contracting Company Limited, with an 86.28% stake. The Saudi company acquired control of Electroputere in 2007. At the time, the company had 2,500 employees.
In late 2012, Electroputere sold its locomotive making unit to Romanian entrepreneur Gruia Stoica for an undisclosed amount. The company currently runs two divisions that produce electrical rotating machines and power transformers, as well as general services unit.
Electroputere reported a loss of 29.6 million lei (EUR6.65 million) in the first half of 2013, narrower from RON332.6 million in the year-earlier period. The company last posted profit in 2000.
Electroputere’s shares closed up 3.08% at RON0.0067 in Bucharest Tuesday, valuing the company at RON2.2 million. (EUR1=RON4.4503)