(Source: Associated Press/AP Online)
DOWNERS GROVE, Ill. - Vehicle remanufacturing and logistics company ATC Technology Corp. late Tuesday said it will cut jobs and consolidate certain warehousing activities in an attempt to reduce costs stemming from the upcoming loss of its Honda transmission remanufacturing program.
As a result of the moves, the company said it expects to take pretax charges of about $1.5 million, or about 5 cents per share after tax, in the second half of the year for severance and related costs.
The charges are in addition to ATC's previously announced pretax goodwill impairment charge of $37 million, or $1.32 per share, which will be recorded in the second quarter.
The additional restructuring actions are expected to be completed by the end of the year, ATC said.
ATC shares rose 45 cents, or 2.8 percent, to $16.40 in midday trading.
A service of YellowBrix, Inc.
