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    Categories: News

Porsche to Halt Production

I bet that headline grabs your attention. I know it worked on me. However, after reading the full report I realized that while not without financial implications, it’s no where near as serious as the headline editors over at TheAge.com.au would have you believe. According to their reports Porsche plans to extend their normal holiday break by an additional three (3) days. Ok, I admit this does effectively “Halt Production,” but is it really in need of such a sensational headline? You be the judge. The full story is below.

Porsche joined other German carmakers in announcing a temporary halt to production because of dwindling sales triggered by the global economic crisis.

A spokesman for the sports carmaker in Stuttgart said the company was extending the Christmas holiday period for workers by three days.

He said the company’s main plant at Zuffenhausen would remained closed from December 22 until January 9, 2009.

A spokesman confirmed media reports that if sales do not pick up, Porsche might transfer some of the production of its Boxster model from its Finnish partner Valmet to Germany.

To the best of my knowledge, the last time the production was halted (other than normally scheduled closings) was this past February when a gas furnace exploded at the Porsche factory in Stuttgart grinding production to a halt for three to four days. At the time, estimates ranged from 320 to 480 units of lost production or 160 units per day. Assuming production levels are similar, the extra shut down time could result in a similar production reduction.

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