In order for an automotive company such as Volvo to continue successful production, a re-organization is sometimes necessary. Such is the case with the ending of the Volvo-Pininfarina S.p.a. partnership. From 2005 up until last March, the two companies maintained a joint-venture, manufacturing the Volvo C70 in Uddevalla, Sweden. However, effective in 2013, Volvo will gain sole ownership of Uddevalla operations and has decided to cease C70 production at that point.

While the hardtop Volvo convertible has undoubtedly been popular, the automaker took a good look at the economic gains of production and decided it will be best to pursue other options. Stefan Jacoby, Volvo President and CEO, explains, "The low volumes in the Uddevalla plant do not justify continued production. We will now look into when a next generation Volvo convertible can be on the market and where it should be manufactured."¹

While the Uddevalla plant produces extremely high-quality vehicles, there are times when a company just needs higher quantities of production. According to Jacoby, Uddevalla is currently only utilizing 65-percent of production capacity and employs 600 people. Now, we know what you are probably thinking. Where will all those people work? Volvo has already taken its team members into account and recognizes its workers' exceptional skill level. Therefore, the automaker will be offering all employees jobs at any one of the other plants throughout Sweden.

If you are interested in learning more about the re-organization within Volvo, feel free to contact Secor Volvo online with questions. And while the C70 may temporarily be without a home, the automaker is still producing other popular new Volvo models like the 2012 Volvo S60. Feel free to stop by 575 Broad St. New London, CT for a test drive.

Source: ¹ https://www.media.volvocars.com/global/enhanced/en-gb/Media/Preview.aspx?mediaid=40471