| PISCATAWAY, NJ -- American Standard Companies Inc. has announced an operational consolidation and streamlining actions targeted at eliminating
duplication of work, enhancing productivity and improving profitability. The company said that it expects these actions to result in a reduction of 1,200 positions on a global basis. These reductions will take place in the company's three businesses and will involve the closing of one manufacturing plant.
The company said these actions, to be implemented during 2001, will result in a pre-tax charge
of approximately $82 million in the fourth quarter of 2000. However, this charge will be fully offset
by a gain from the recently announced sale of its Calorex water heater business and therefore
there will be no impact on the company's fourth quarter results.
"These changes will eliminate job duplications and bring our operations closer to customers,
enhancing our efficiency and competitive position across all business lines," said Frederic
Poses, American Standard Chairman and Chief Executive Officer. "We expect these actions will
generate savings of more than $50 million annually on an ongoing basis."
American Standard currently employs approximately 58, 000 people in 36 countries.
American Standard is a global manufacturer with market leading positions in three businesses:
TraneŽ, the United States' leading supplier of central air conditioning systems and service for
commercial and institutional buildings and a premier brand for residential buildings; American
StandardŽ and Ideal StandardŽ, the world's largest manufacturer of plumbing products; and
WABCOŽ, the leading supplier of electronic braking and control systems to the world's
manufacturers of heavy-duty trucks and buses. American Standard is included in the Standard &
Poor's MidCap 400 Index.
This eUpdate posting by: Steve Joyce
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