Perlos, which makes mobile phone casings for Nokia, would end production with the loss of 1,132 jobs, as part of a bid to return to profitability, an AFP report said.
The AFP report quoted a company statement as saying that 'the company will discontinue all production operations in Finland, closing its two facilities in North Karelia by the autumn of 2007 at the latest.'
The AFP report also said Perlos would 'also cut overlapping functions in the organization, which will lead to personnel reductions in other functions in Finland as well,' where it employs a further 200 employees.
The Finnish job losses were included in some 4,000 redundancies Perlos announced in January in Europe , Asia and North and South America for 2007, representing a third of its workforce, the report said.
Perlos has been hit by falling demand from Nokia, traditionally its most important customer, and fierce competition from Asian competitors, the report said.
The group has said it intends to make savings of 100 million euros ($130 million) a year from 2007, the AFP report said.