The company that supplies Polar guillotines for Heidelberg to sell has called in administrators, continuing a spate of administrations for German engineering companies supplying the printing industry.
Polar Cutting Technologies, formed as a result of a previous administration, develops and manufacturers the guillotines and associated equipment that Heidelberg sells across the globe. The company appointed administrators as a result of a cash flow crisis. The process will allow time for reorganisation and refinancing if necessary with the help of a court appointed administrator.
During this time the jobs of the 240 staff in Germany are protected. There are also 25 employees in Qingpu, alongside the Heidelberg plant near Shanghai. This outpost is to be closed and there will be reductions in Germany as result of the administration, but it is not known how many will be affected.
Heidelberg is reported to have assured the company’s management that it will continue its partnership as the sales and service channel for the guillotines and handling systems. The trademark, intellectual property and technology were sold to Heidelberg in July last year.
The administration of PCT follows that of Baumann Perfecta which produces guillotines from a plant near Dresden. It began an administration process in January, hoping to have a solution in place by the end of March. Subsequent to this Baumann Sohms, which produces handling equipment has also entered administration. As well as guillotines under Perfecta and Wohlenberg brands for Baumann, it produces the Apressia machines for Komori.
Beyond the finishing sector Manroland Sheetfed has also entered administration in order to carry out a deep reorganisation and to find a way forward for the press manufacturer.
Last year a lengthy spell in administration, dating back to before the last Drupa, for Renz ended when the company was acquired by Plockmatic.
The spate of insolvencies is perhaps an indication that print companies feel no pressure to update the guillotine they already have, especially as other methods of finishing sheets come to the fore. Alternately it is an indication that the German engineering sector has to come to terms with a changed world and the general shift towards markets in Asia where competition from China is strong.
