A. Schulman to further cut European costs, jobs
A. Schulman plans to further cut European costs, eliminate jobs; will sell Australian business
AKRON, Ohio (AP) -- A. Schulman Inc. said Tuesday that as a result of continued tough economic conditions in Europe, it plans to further restructure its operations there.
The Akron, Ohio-based supplier of plastic compounds and resins didn't specifically say what it would do to reduce costs, but did say the moves would include jobs cuts. The actions are expected to generate about $4 million in annual run rate savings.
Over the past three years, A. Schulman's European restructuring actions have resulted in more than $6 million in annual run rate savings.
A. Schulman also said that it plans to sell its Australian rotational compounding business. The company plans to hire a financial advisor to help with the process and expects to complete a sale within six to 12 months. The business' fiscal 2012 revenue totaled about $25 million.
A. Schulman said the move will allow its Asia Pacific team to focus on profitable growth markets and look for further acquisitions in the region.
In morning trading, share of A. Schulman added 27 cents to $29.07.
