Sweden’s leading yacht producer, Hallberg-Rassy, has announced that it may have to lay off 98 employees ? 91 in production and another seven on the administration side. The company currently employs 242 workers, reports IBI magazine.

“It’s a difficult market situation. Not just locally, as earlier times, but it’s a worldwide economical depression,” managing director Magnus Rassy told local daily paper Bohusläningen.

He also added that the company’s turnover this year will be its largest ever.

“But we have to look forward to the 2010 season and even then it looks much harder than the golden years we’ve faced since 2006.”

The yard has full production until this year’s summer vacation.