TRIUMPH AND THE
MAGELLAN GROUP
ENTER STRATEGIC
PARTNERSHIP
Dear colleagues,
As you know, we are – in view of our
global strategy - reviewing our
production blueprint and establishing a
new sourcing strategy. We aim to refocus
our activities and to optimize our
global supply chain network, making it
more competitive in view of increasing
price and cost developments in a great
number of international sales markets
as well as severe currency exchange
rate pressure.
With this announcement we want to
share with you an important strategic
partnership which we have entered
into as a consequence. A Hong Kong
based intimate apparel and raw
material production company, the
Magellan Group, will take over our
production sites Body Fashion Hungary
in Dunaújváros, Body Fashion Thailand
in Bang Plee (close to Bangkok), and
our second Thai production center in
Nakorn Sawaan. They will retain the
current key management and take over
all employees. Altogether, Body
Fashion Hungary today employs 325
people, and the two sites in Thailand
employ 2,757 people.
All parties will benefit greatly from this
deal: Triumph will gain flexibility and at
the same time reduce cost of goods
sold. We will decrease complexity in our
supply chain, and, by partnering with
Magellan, improve our own
verticalization process and the speed
and negotiating power in raw material
sourcing.
Magellan will benefit from this deal by
extending its portfolio of customers
through this partnership with Triumph,
as we are one of the biggest intimate
apparel companies in the world.
Importantly, this agreement also
ensures a sustainable long-term future
of the Hungarian and Thai sites and the
people who work there.
We took our time to identify a suitable
buyer for Body Fashion Hungary and
the Thai production centers, as we
wanted to ensure a long term solution
benefiting the remaining employees
there. Family owned Magellan Group is
a company which produces raw
materials (like wires and cups) and
distributes and markets both branded
and private label lingerie and
underwear internationally. Both from
their industry expertise and their set of
values and principles, Magellan is a
great fit as a partner for us.
It needs to be said that we remain
firmly committed to our local sales
business in both Hungary and Thailand.
This deal only covers our sourcing; we
retain our own sales and marketing
activities in both countries. The
partnership is an important milestone
in our quest to optimize our global
supply chain network. The ultimate
target is to establish a production,
sourcing and distribution network that
sustainably meets our needs and
demands in terms of lower cost while
maintaining craftsmanship, innovation,
quality and flexibility. To this end, we
are currently also expanding and
further investing into our remaining
production and sewing centers.
We believe that this is the best of all
possible outcomes for the production
centres and their employees in
Hungary and Thailand. We want to
express our great appreciation of to all
our people in Hungary and Thailand
who have been loyal to us for many
years and have contributed to our
success. We also wish them all the very
best in their professional future with
the Magellan Group.
We also want to thank Wolfgang
Weinberger, General Director Body
Fashion Hungary, who will stay with
Triumph to become Head of Global
Technical Services & Quality Assurance
in our supply chain business unit. His
role in Body Fashion Hungary will be
taken over by Pierre-Yves Connan,
currently Head of Material Planning
and Logistics. We wish Pierre-Yves the
very best for the future! Finally, we
would also like to warmly thank CH
Yeoh, General Manager Manufacturing
Thailand, for his great support over all
the years. CH Yeoh will also stay on
with Body Fashion
TRIUMPH AND THEMAGELLAN GROUPENTER STRATEGICPARTNERSHIPDear colleagues,As you know, we are – in view of ourglobal strategy - reviewing ourproduction blueprint and establishing anew sourcing strategy. We aim to refocusour activities and to optimize ourglobal supply chain network, making itmore competitive in view of increasingprice and cost developments in a greatnumber of international sales marketsas well as severe currency exchangerate pressure.With this announcement we want toshare with you an important strategicpartnership which we have enteredinto as a consequence. A Hong Kongbased intimate apparel and rawmaterial production company, theMagellan Group, will take over ourproduction sites Body Fashion Hungaryin Dunaújváros, Body Fashion Thailandin Bang Plee (close to Bangkok), andour second Thai production center inNakorn Sawaan. They will retain thecurrent key management and take overall employees. Altogether, BodyFashion Hungary today employs 325people, and the two sites in Thailandemploy 2,757 people.All parties will benefit greatly from thisdeal: Triumph will gain flexibility and atthe same time reduce cost of goodssold. We will decrease complexity in oursupply chain, and, by partnering withMagellan, improve our ownverticalization process and the speedand negotiating power in raw materialsourcing.Magellan will benefit from this deal byextending its portfolio of customersthrough this partnership with Triumph,as we are one of the biggest intimateapparel companies in the world.Importantly, this agreement alsoensures a sustainable long-term futureof the Hungarian and Thai sites and thepeople who work there.We took our time to identify a suitablebuyer for Body Fashion Hungary andthe Thai production centers, as wewanted to ensure a long term solutionbenefiting the remaining employeesthere. Family owned Magellan Group isa company which produces rawmaterials (like wires and cups) anddistributes and markets both brandedand private label lingerie andunderwear internationally. Both fromtheir industry expertise and their set ofvalues and principles, Magellan is agreat fit as a partner for us.It needs to be said that we remainfirmly committed to our local salesbusiness in both Hungary and Thailand.This deal only covers our sourcing; weretain our own sales and marketingactivities in both countries. Thepartnership is an important milestonein our quest to optimize our globalsupply chain network. The ultimatetarget is to establish a production,sourcing and distribution network thatsustainably meets our needs anddemands in terms of lower cost whilemaintaining craftsmanship, innovation,quality and flexibility. To this end, weare currently also expanding andfurther investing into our remainingproduction and sewing centers.We believe that this is the best of allpossible outcomes for the productioncentres and their employees inHungary and Thailand. We want toexpress our great appreciation of to allour people in Hungary and Thailandwho have been loyal to us for manyyears and have contributed to oursuccess. We also wish them all the verybest in their professional future withthe Magellan Group.We also want to thank WolfgangWeinberger, General Director BodyFashion Hungary, who will stay withTriumph to become Head of GlobalTechnical Services & Quality Assurancein our supply chain business unit. Hisrole in Body Fashion Hungary will betaken over by Pierre-Yves Connan,currently Head of Material Planningand Logistics. We wish Pierre-Yves thevery best for the future! Finally, wewould also like to warmly thank CHYeoh, General Manager ManufacturingThailand, for his great support over allthe years. CH Yeoh will also stay onwith Body Fashion
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