Yue Yuen to stay despite unrest

Yue Yuen to stay despite unrest

HONG KONG (Reuters): Sports shoe maker Yue Yuen Industrial (Holdings) Ltd said yesterday it had no intention of closing its operations in Indonesia despite the unrest and the company's business was operating normally.

"The company has no intention of closing its operations in Indonesia and no contingency plans for the current political turmoil in Indonesia if that leads to the closure of the operation," Yue Yuen said in a statement.

"The company's Indonesian operations are carrying on business as normal and the directors do not consider necessary to make any provisions for the company's investments or operations in Indonesia," the company said.

Yue Yuen said that on average its facilities in Indonesia produced less than 12 percent of its annual production by value.

"If a closure were forced upon the company, its directors believe that would not have a significant effect on the business of the company as the company has ample production capacity in China and Vietnam to which production volume in Indonesia could be transferred," it said.