RPM to Close Facilities, Consolidate Operations in Restructuring Program
RPM announced a restructuring and consolidation program that will result in the closing of 23 facilities.
MEDINA, OH — RPM Inc. announced a restructuring and consolidation program that will result in the closing of 23 facilities, the elimination of 10% of the company’s total work force and consolidation of distribution and warehousing operations. The company said the program is expected to generate pretax savings of $23 million annually and result in a $45 million pretax charge against earnings in the first quarter of fiscal year 2000, which began June 1.
The company declined to provide specifics on facilities to be affected by the restructuring program, pending notification of employees at those sites. Chairman and CEO Thomas C. Sullivan said the company hopes to achieve “part of the work-force reduction through normal attrition.” Approximately 730 employees will be affected.