Vestas in talks with Mitsubishi

[August 28, 2012]  COPENHAGEN, Denmark (AP) -- Vestas Wind Systems A/S, the world's biggest maker of wind turbines, says it is in talk with Japan's Mitsubishi Heavy Industries over possible "strategic cooperation."

The Denmark-based group didn't disclose details Tuesday but said an announcement will be made if the two companies reach agreement.

Vestas shares jumped more than 13 percent after the announcement, to 38.61 kroner ($6.49) in early Copenhagen trading.

Vestas said last week it will slash 1,400 jobs to reduce costs amid stiff competition and a market slowdown. Those come in addition to 2,335 worldwide layoffs announced worldwide in January. It currently has 20,400 employees.

Vestas reported a second-quarter net loss of euro8 million, down from a profit of euro55 million in the same period last year.

[Associated Press]

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