A new production line for incontinence care products will be built in Russia by SCA following the company's assessment that the market for incontinence care products is expected to grow considerably in the years immediately ahead.
The Russian market for personal care products is characterized by strong growth.
SCA has been established in the Moscow region since 2008, with the installation of production facilities for baby diapers.
To meet the anticipated consumer demand, SCA has decided to invest in a production line for incontinence products at its plant in the city of Veniov in the Tula district some 180 km south of Moscow.
The decision entails that SCA – once the plant is in place during 2011 – will be able to substantially decrease its import from its plants in Olawa, Poland, or Gennep, Holland. Thereby, high costs for transports and duties will be lowered.
The investment cost for the new production line for incontinence care products will be approximately SEK 138m.
This information is such that SCA must disclose in accordance with the Securities Markets Act.