Flextronics Expands Relationship with Lenovo; Establishes Manufacturing Partnership for European Computing Products from Hungary
December 08 2009 - 3:00AM
PR Newswire (US)
SINGAPORE, Dec. 8 /PRNewswire-FirstCall/ -- At an event held today
in Sarvar, Hungary, Flextronics (NASDAQ:FLEX) announced that it has
signed an agreement with Lenovo to expand the scope of its existing
Electronics Manufacturing Services (EMS) relationship. Flextronics
currently provides mechanical and system solutions to Lenovo in
China as well as manufacturing services in Brazil. As part of the
arrangement, Flextronics enlarges its geographic service area for
Lenovo products to include Europe and increases the number of EMS
services it delivers for Lenovo. Flextronics' Sarvar facility will
manufacture computing products for Lenovo including commercial
desktop, server and workstation products. It will also expand
Flextronics' capabilities in Hungary, a strategic area for
computing products within Europe. Terms of the deal were not
disclosed. "We are very excited about this Lenovo business
expansion and believe our global ODM and EMS capability is the
competitive advantage enabling this kind of strategic customer
growth," said Sean Burke, president of Flextronics Computing. "This
deal also allows Lenovo to take advantage of our high-volume PC
manufacturing facility located in a competitively positioned region
within Europe that offers superior logistics capabilities. Overall,
it is the kind of expanded partnership that speaks to the
significant competitive offering we provide to world leading PC
companies such as Lenovo." "The new manufacturing facility in
Hungary represents another important step in our strategic
partnership with Flextronics. Our further collaboration in Europe
allows us to centralize our activities and optimize our supply
chain, while providing superior service to our European customers,"
said Gerry Smith, senior vice president, Lenovo Global Supply
Chain. Flextronics' commitment to offer world-class and competitive
solutions to its customers is exemplified in this Lenovo deal. For
example, Flextronics customized its services to Lenovo to include a
vendor managed inventory (VMI) hub managed by Flextronics Global
Services that will be housed on-site with manufacturing services
and will feed production lines on a real-time basis. This is a
service not typically offered by EMS providers, but rather is added
via third-party basis from a remote location. Flextronics Hungary
was selected for the production location of this business based on
its ideal physical market location and proximity to Flextronics'
Centre of Excellence for computing in Zala, Hungary. About
Flextronics Headquartered in Singapore (Singapore Reg. No.
199002645H), Flextronics is a leading Electronics Manufacturing
Services (EMS) provider focused on delivering complete design,
engineering and manufacturing services to automotive, computing,
consumer, industrial, infrastructure, medical and mobile OEMs.
Flextronics helps customers design, build, ship, and service
electronics products through a network of facilities in 30
countries on four continents. This global presence provides design
and engineering solutions that are combined with core electronics
manufacturing and logistics services, and vertically integrated
with components technologies, to optimize customer operations by
lowering costs and reducing time to market. For more information,
please visit http://www.flextronics.com/. DATASOURCE: Flextronics
CONTACT: Warren Ligan or Kevin Kessel, Investor Relations,
+1-408-576-7985, , Renee Brotherton, Vice President, Corporate
Communications, +1-408-576-7189, , all of Flextronics Web Site:
http://www.flextronics.com/
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