GER - Aluminum Casting Specialist MWS Applies for Insolvency Proceedings: 320 employees from Friedrichshafen are Affected

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The company MWS, which operates a factory in Friedrichshafen has filed an application for insolvency proceedings. According to the company, the German part of the firm is affected: MWS Friedrichshafen GmbH, MWS Garching GmbH and MWS Deutschland GmbH. The estimated 320 employees in Friedrichshafen and the 150 employees in Garching were informed about the employee meetings on Monday, November 28th,2016.

In the course of the insolvency proceedings, a so-called protective screen procedure was applied for MWS Friedrichshafen GmbH. "The management will continue to work, supported by an expert, Mr. Geiwitz from the law firm Schneider, Geiwitz & Partner, as well as the renowned restructuring expert of the law firm Grubbrugger, Stuttgart," the press release states. "Mr. Schneider was also appointed as provisional insolvency administrator for MWS Garching and Mr. Hubl for MWS Deutschland." The business will continue to run. The insolvency petition had no effect on the validity of employment contracts. "All rights and obligations remain, so employees have a secured salary for three months through the so-called insolvency allowance." All foreign companies of MWS in Austria and Slovakia were not affected by the insolvency application of the German companies.

MWS is an Austrian company. It is specialized in castings and according to its own data, an international market leader in aluminum sand casting. The Häfler factory and the one in Garching took over MWS in 2012 from Georg Fischer. With 800 employees at six locations, MWS generates annual sales of EUR 150 million.