A Shannon-based manufacturing plant has announced it is to close with the loss of 40 jobs.

In a statement, P.A.T. (Ireland) said the plant would close at the end of July as a result of its German parent company, Rheinmetall Blektronik, restructuring and rationalising its production facilities on a worldwide basis.

The company stated that the Shannon facility - which produces electronic circuit boards - had lost out to larger, more cost-effective business units within the group, which now has excess capacity for electronic board production.

A SIPTU spokesman said yesterday the announcement had come as a complete shock to the workforce.