Business, Latvia, Markets and Companies

In connection with restructuring of the company and reducing the workforce to 73 workers, the company paid out around LVL 1 million last year in severance payments, thus ending the year with significant losses. The exact amount of these losses is still being calculated.

Similar to other companies, for now Rebir is operating on a survival regime while waiting for the resurgence of construction and lending in Latvia.

As previously reported, the company experienced difficulties in 2008 as a result of rapidly growing labor and energy expenses, carrying out large-scale redundancies and transferring production to China. Although Rebir was one of the last companies to move its production to China, it is operating normally and has fulfilled several orders.

"Until we change our attitude towards work and work payments, until we stop being lazy, and until changes are made to our stupid legislation, we will not have the power to compete with manufacturers in China and other Eastern Countries" insisted Zudans.

The foundations for the current Rebir electric construction tools factory were since 1944, when a number of small metal workshops were established. In 1963 a decision was made at the state level to create the Rezekne metalworking factory on the basis of these workshops.

At present the main production lines are various hand-held electric tools and construction equipment. The factory also produces plastic products.

The company's main sales markets are Russia, Ukraine, Poland and the Baltic States.