Cost Reduction Program Yields Results

Standard Register implements cost reduction program to compete effectively in its industry. ...

... "Earlier this year, the Company consolidated its manufacturing and warehousing operations in a move expected to save approximately $5 million annually. Today's action eliminated approximately 250 positions, primarily in management and overhead, representing $22 million annually in compensation and related costs. Other new initiatives that target purchasing costs and other non-compensation expenditures are expected to lower costs by an additional $13 million annually. These actions, including the earlier restructuring, are expected to reduce second half 2007 costs by $15 million versus the levels incurred in the first six months of the year. The remaining balance of the $40 million in annual savings is expected next year. Separation costs associated with today's restructuring are estimated at $3.5 million, which will be recorded in the third quarter. " ...

Via Standard Register: Cost Reduction