PTS

PTS in China currently has 12 factories and 3500 employees. They are focusing on optimizing their industrial footprint and streamlining their organization. In 2023, they plan to close factories in Sichao and Tianjin, and in 2024, they will move the Wuxi and Taikang plants to Nanjing. They are also seeking synergies in their joint venture in Changshu and Changzhou. In terms of organization, they have merged the Asia Pacific and China management teams in PEM China and consolidated Taikang and Wuxi with one management team in PSD China. They have also reduced departments in Shenyang from 16 to 9. PTS in China in 2022 had 12 factories located in 10 cities, 3500 employees. Most sites are located in eastern China, Yangtze Delta region. With the announcement of a new PSD and new PEM organization, we kicked off our actions immediately. Step one, industrial footprint optimization. We have decided a timeline to reorganize our footprint, including in 2023, close the factories in Sichao and Tianjin. In 2024, move Wuxi and Taikang plants to Nanjing, our parent factory. In addition, seeking for synergies of our joint venture in Changshu and Changzhou. Step two, streamline our organization. In PEM China, we have merged the Asia Pacific and China management team. In PSD China, we have consolidated Taikang and Wuxi with one management team. In Shenyang, we reduced our departments from 16 to 9.