By Dominic Chopping
STOCKHOLM--Sweden's Atlas Copco AB (ATCO-A.SK) will book a 2 billion kronor ($222.7 million) impairment charge in its 2016 earnings after announcing plans to sell its Road Construction Equipment unit.
The industrial tool maker said the unit doesn't have the economies of scale to become number one or two in the market so will be better served with a new owner. The impairment charge relates primarily to intangible assets, it said.
The Road Construction Equipment division manufactures rollers for asphalt and soil, planers and pavers and employs 1,265 people. The business includes sales and service operations in 37 countries andproduction units in five countries. Sales in 2016 totaled around SEK2.9 billion.
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(END) Dow Jones Newswires
January 12, 2017 03:18 ET (08:18 GMT)
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