Cargotec to book EUR 26 million in restructuring costs in the fourth quarter of 2012
CARGOTEC CORPORATION, STOCK EXCHANGE RELEASE, 22 JANUARY 2013 AT 9.00 A.M. (EET)
Cargotec initiated several restructuring measures during the second half of 2012. As a consequence, Cargotec announced in October 2012 that it starts employee cooperation negotiations concerning the entire personnel aiming at adjusting Cargotec's operations to the new business-driven operating model and improving profitability. In addition, cooperation negotiations were announced during the fourth quarter of 2012 in Lidhult and Hudiksvall, Sweden. These actions aim to improve operational efficiency, profitability and to ensure long-term competitiveness in global markets.
Majority of the negotiations have been concluded. Cargotec will book EUR 26 million in non-recurring restructuring costs in the fourth quarter of 2012, of which approximately EUR 19 million impacts cash flow. Non-recurring restructuring costs booked in 2012 total EUR 26 million. Cargotec estimates that the measures taken result in approximately EUR 30 million cost savings for the year 2013.
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Cargotec improves the efficiency of cargo flows on land and at sea - wherever cargo is on the move. Cargotec's daughter brands, Hiab, Kalmar and MacGregor are recognised leaders in cargo and load handling solutions around the world. Cargotec's global network is positioned close to customers and offers extensive services that ensure the continuous, reliable and sustainable performance of equipment. Cargotec's sales totalled EUR 3.1 billion in 2011 and it employs approximately 10,500 people. Cargotec's class B shares are quoted on the NASDAQ OMX Helsinki under symbol CGCBV. www.cargotec.com