Article: Lego taking back production.

Byline: Bill Bregar

Toy maker Lego A/S announced July 1 it will end its 2-year-old outsourcing agreement with electronics manufacturer Flextronics International Ltd.

Lego, the Bellund, Denmark-based maker of the famous, colorful building blocks, outsourced production in mid-2006 to cut production costs.

During the complex transition, Lego moved a huge amount of machinery hundreds of injection molding machines, and other equipment used to pack the parts into the final packaging over to Flextronics-owned factories in Juarez, Mexico, and Nyiregyhaza, Hungary.

Lego continued to own the molding and packing machinery, while Flextronics ran the operations in its ...

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