Intermec, Inc. (NYSE:IN), today announced a corporate restructuring plan
to better align its cost structure with its current and anticipated
needs by lowering costs primarily in North America and Europe. The
restructuring plan seeks to lower the company’s general and
administrative and support costs while limiting the impact on research
and development and global sales operations, especially in higher growth
regions such as Asia, Latin America, Middle East and Eastern Europe.
“These are difficult business decisions that I realize directly affect
many people,” said Intermec chief executive officer Allen Lauer.
“However, the new cost structure better positions us to execute our
strategy. Our management team and I are committed to realizing the
benefits of this restructuring as early as the third quarter of this
year.”
The company expects to eliminate approximately 170 positions or 7% of
its global workforce and will record total one-time employee separation
expenses and related costs of approximately $8 million to $9 million on
a pre-tax basis. Approximately $6 million to $7 million of these
restructuring costs will be recorded in the second quarter of 2012. The
company anticipates that the restructuring will generate annual cost
savings of approximately $19 million to $21 million.
Investments the company has made to expand its solutions strategy,
including the acquisition of Vocollect which is not directly impacted by
the restructuring plan, continue to perform in-line with expectations.
Intermec will continue to be a highly competitive player in its targeted
deployment environments developing products, services and technologies
that identify, track and manage supply chain assets and information, for
its many global customers.
About Intermec:
Intermec Inc. (NYSE:IN) develops and integrates products, services and
technologies that identify, track and manage supply chain assets and
information. Core technologies include rugged mobile computing and data
collection systems, voice solutions that increase business performance,
bar code printers, label media, and RFID. The company’s products and
services are used by customers in many industries worldwide to improve
the productivity, quality and responsiveness of business operations. For
more information about Intermec, visit www.intermec.com
or call 800-347-2636.
Forward-Looking Statements
Statements made in this release and any related statements that
express Intermec’s or our management’s intentions, hopes, indications,
beliefs, expectations, guidance, estimates, forecasts or predictions of
the future constitute forward-looking statements, as defined by the
Private Securities Litigation Reform Act of 1995, and relate to matters
that are not historical facts. They include, without limitation,
statements regarding: the potential financial or other benefits to be
realized from this plan of restructuring, the amount or timing of such
benefits, our management succession, our view of our financial or
business prospects for the future, our view of general economic and
market conditions, our sales, revenue, expense, earnings or financial
outlook for any quarterly period of 2012, the full-year of 2012, the
current period or any other period, our impairment analysis for goodwill
and long-lived assets, our deferred tax valuation allowances, the
applicability and results of accounting policies and analyses used in
our financial reporting, the necessity to update information in our
periodic or other required reports, our cost reduction plans, and our
ability to develop, produce, market or sell our products, either
directly or through third parties, to reduce or control expenses, to
improve efficiency, to realign resources, or to continue operational
improvement and year-over-year or sequential growth, and the potential
benefits resulting from acquired businesses. When used in this document
and in documents it refers to, the words “anticipate,” “believe,”
“will,” “intend,” “project” and “expect” and similar expressions as they
relate to us or our management are intended to identify such
forward-looking statements. These statements represent beliefs and
expectations only as of the date they were made. We may elect to update
forward-looking statements, but we expressly disclaim any obligation to
do so, even if our beliefs and expectations change.
Actual results may differ from those expressed or implied in our
forward-looking statements. Such forward-looking statements involve and
are subject to certain risks and uncertainties, which may cause our
actual results to differ materially from those discussed in a
forward-looking statement. Such risk factors also include, but are not
limited to, risks and uncertainties described more fully in our reports
filed or to be filed with the Securities and Exchange Commission
including, but not limited to, our annual reports on Form 10-K,
quarterly reports on Form 10-Q, and current reports on Form 8-K, which
are available, among other places, on our website at www.intermec.com.
