Transcom to close its contact center in St. Catharines, Canada

Luxembourg, 29 October 2013 – Due to continued unsatisfactory profitability in Transcom’s Canadian operation, the company’s St. Catharines (Ontario) location will be closed at the end of February 2014. Approximately 260 employees will be affected. Volumes now handled in St. Catharines will be transferred to other existing Transcom contact centers in the North America & Asia Pacific region. As a result of this closure, Transcom will also be relocating its North American headquarters to its existing Denver, CO office.

This decision is part of Transcom’s efforts to improve capacity utilization and profitability in its North American operation. The closure will not result in any significant one-off costs, and the company expects a positive contribution to margins beginning in Q2 2014.

“Over the past two years, we have been successful in improving Transcom’s overall capacity utilization, with a positive impact on the company’s profitability. The optimization of our capacity utilization in all locations is key to value creation, and will always be a central priority for Transcom. The decision to close our site in St. Catharines should be viewed in this context. In parallel, we are focusing on developing new business to be delivered from onshore sites in the United States, complementing our successful offshore business”, commented Johan Eriksson, Transcom’s President and CEO.

For further information, please contact:

Johan Eriksson, President and CEO
Telephone +46 70 776 80 22

Pär Christiansen, CFO
Telephone +46 70 776 80 16

Stefan Pettersson, Head of Group Communications
Telephone +46 70 776 80 88