Global crisis reaches Cemex’s Dominican Republic ops

Global crisis reaches Cemex’s Dominican Republic ops
11 February 2009

Cemex Dominicana’s local cement plant didn’t escape the global crisis, as sales fell 25% in the last quarter compared with the first half of the year, with 20% of its fixed personnel laid off (around 160) since December.

Cemex Dominicana closed one of its production lines and ceased operations in half of its five concrete plants, as the company reportedly aims to save around 16% in its global operations.

In a videoconference from Connecticut Cemex Planning and Finances vice president Héctor Medina said estimated savings of US$110m the remaining 16% will come from the closing of its operations in Mexico and through reduced capacity, personnel cuts and the use of alternative fuels.

He said the situation has forced the local industry’s members to apply similar efforts to reduce costs and remain competitive during the period. “Cemex Dominicana has adopted action such as the closing of one of our two production lines, the cease of half of its operations and the closing of five of our concrete plants and a 20% reduction of its fixed personnel, without mentioning the impact on indirect jobs that an action such as this generates.”
Published under Cement News