Financial woes have forced Swedisn glassmaker Orrefors Kosta Boda to close two factories in southern Sweden and lay off 130 employees. Owners of the company, New Wave Group, recently issued a profit warning as it announced that glassworks located in Orrefors and Afors would be shut down. "With the present economic uncertainty and economic development, we don't see any possibility to achieve an acceptable profitability during a foreseeable future without taking extensive measures," the New Wave Group said in a statement. Between 2008 and 2012, New Wave Group has invested around 300M Krona (around US$ 45M) to cover loses at OKB, but has yet to help return the operation to profit. The company also cited the strong Swedish krona as having a negative impact on OKB's export business. As part of a turnaround effort estimated to cost 212M/kronor, the company plans to move glass production to the glassworks located in Kosta and attempt to sell the closed-down facilities.
