STOCKHOLM -- The world's number two truckmaker, Sweden's Volvo, will close its bus factory in Heilbronn, Germany, with around 150 employees, the firm said on Wednesday.
Volvo said in a statement the closure would cost around 95 million crowns ($12.41 million), to be charged against earnings in the second quarter. "This decision is in line with Volvo Buses' long-term strategy for achieving profitability and continuing to upgrade the global coach range and concentrate manufacturing at the main factories," the firm said.
The truckmaker also said its second-quarter results would be boosted by around 300 million Swedish crowns ($39.18 million) due to a number of tax rulings in Sweden's top administrative court.
Volvo said in a statement the Administrative Court of Appeals had made a series of rulings on tax cases for most of which it had already made provisions.