Keywords
Citation
(2003), "Valor restructures to improve profit", Circuit World, Vol. 29 No. 3. https://doi.org/10.1108/cw.2003.21729cab.003
Publisher
:Emerald Group Publishing Limited
Copyright © 2003, MCB UP Limited
Valor restructures to improve profit
Valor restructures to improve profit
Keyword: Valor
Valor Computerized Systems Ltd has closed its e4eNet web-based engineering collaboration service and appointed a new chief financial officer. Both measures represent additional steps to consolidate its established business model of providing integrated design-through-manufacturing engineering solutions for the electronics industry.
Following the return to profitability of the last quarter, Valor expects to further strengthen its financial performance as a result of these latest restructuring announcements.
E4eNet Inc., a wholly-owned subsidiary of Valor based in the USA, was formed in 2000 to develop B2B web-based engineering collaboration services for the electronics industry. Despite successful proof of concept and initial revenue- earning adoption of the technology by leading OEMs and manufacturing service providers, worldwide business conditions mitigated against sufficient profitability, leading Valor to take the cost-containment measure of closure and disposal of the assets and intellectual property contained in the e4eNet business unit.
Annual cost savings of approximately $3 million will result from the closure, effective for the whole of 2003 and onwards. Valor has appointed Dan Hoz as Chief Financial Officer to replace Itsik Ben-Yesha, who is leaving the company at the end of the current year. Hoz joins Valor from its 50 per cent-owned joint- venture company Frontline PCB Solutions, where he had been the Vice President of finance and operations since 1998. Hoz will remain on Frontline's board of directors.
For further information, visit the Web site at: http://www.valor.com