JM Announces Consultation on Future of Vertec

For release at 3.45 pm on Thursday 27th May 2010

Johnson Matthey Announces Consultation on the Future of its Vertec Business

Johnson Matthey has today announced its decision to commence consultation with employees about the future of its Vertec business. Vertec, based in Billingham, UK, is the smallest of four business units in Johnson Matthey's Process Technologies business which is part of the group's Environmental Technologies Division.

Vertec, which manufactures specialist organic titanates used in inks, paints and polymers, has been loss making for several years. Despite efforts to make the business more viable through efficiency improvements, cost cutting and ongoing support for research to develop new products, the business continues to struggle against stiff competition.

The company's proposal is, subject to consultation, to accept an offer for the business' order book from a potential buyer and to close the business in the early part of 2011.

The consultation period will commence immediately and will involve discussions with the 50 employees of the business.