User:UFEtheinia/Sandbox
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Formerly | Etheinian Manufacturing Industries |
|---|---|
| Public limited company (formerly State-owned enterprise) | |
| Industry | Industrial conglomerate |
| Fate | Liquidated after bankruptcy |
| Founded | February 21, 1972 |
| Defunct | September 5, 2011 |
Area served | Worldwide |
| Products | - Heavy industry - Defense - Vehicles - Electronics & computers - Materials |
Etheinian Manufacturing (EM) was a major Etheinian manufacturing conglomerate that produced industrial machinery, automobiles, aircraft, weapons systems, commercial & consumer electronics, appliances, and optical devices. It was also involved in metal refining and semiconductor production. The company was originally founded in 1972 as Etheinian Manufacturing Industries (EMI), a state-owned enterprise formed out of the nationalization of several private businesses. It grew steadily over the next two decades to become the second-largest industrial company in the United Federation of Etheinia, and the country's third-largest overall employer.
Despite its size (or perhaps because of it), by the mid-90s EMI was operating at a consistent loss in terms of net annual revenue, relying on government subsidies to keep itself afloat. It became a key target for restructuring under President Alejo Ibáñez's economic reforms, with the goal of making the company more efficient & profitable. Under the direction of chairman Keir Aitken, EMI was privatized in 1997 to form a public limited company. Although profits briefly rebounded during the 2000s, increased competition in the marketplace combinded with a heavy debt load led the company to declare bankruptcy in 2009. Etheinian Manufacturing was eventually liquidated in 2011, with most of its former operations being split up and acquired by other companies.
History
Formation
Etheinian Manufacturing Industries was one of 14 state-owned companies created by the 1972 National Enterprise Organization Act, which replaced the informal state management scheme that had been implemented during the Etheinian unification process. Under the 1972 Act, smaller businesses were nationalized and integrated into a single large company based on economic sector. EMI was formed to produce industrial & electrical equipment, trains, and automotive parts, as well as tanks and artillery for the military. The company was formally incorporated on February 21st, 1972.
Expansion
In 1976, as the Etheinian government was slashing the budget for rail transport in favor of road infrastructure, EMI requested to close its unprofitable passenger train division and expand its automotive parts division to produce actual automobiles. This request was approved, and by 1977 the first EMI-built cars were rolling off the assembly line.
EMI's expansion increased greatly during the "sectorization" process of the 1980s.