i have written quite a few posts in the past suggesting that inhouse manuf of the HX could be done in Australia.. we have the incountry expertise as Kenworth and others show. There are real benefits to doing this.
So the new facility is 850k per year. Probably over 1 mill once you factor in outgoings such as building insurance, rates and other minor outgoings.
Cheaper to manuf in house than outsouce under a licensing deal or contract manufacturerd?.. I dont believe that for a second.
The capex and labour cost setting up production lines and associated warehousing will be massive.
This will be good for FBR if they manage the execution of the plans.
But cannot see the 15 mill in the recent CR lasting long when they are trying to fill this new building.
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