(AP) — Gardner Denver Inc. said Friday that it will restructure its operations in an effort to improve its global manufacturing efficiency, cut costs and boost profitability.
The Wayne, Pa.-based machinery maker said the moves, which mainly focus on its European industrial products group, are expected to result in pre-tax savings of $35 million to $40 million per year by 2016, with savings of $10 million to $15 million expected to be reached in 2013.
The moves are also expected to result in total pre-tax restructuring charges of $85 million to $100 million, which the company expects to realize by 2015. About $35 million to $45 million in charges are forecast for 2013.
As part of the plan, Gardner Denver will consolidate manufacturing facilities and reduce related staffing to increase efficiency and free up resources so they can be invested in more profitable businesses. It didn't specify how many jobs it planned to cut.
The company expects put the plan in place over the next several months and complete it by the end of 2015.
Gardner Denver shares fell $1.03 to $60.60 in morning trading.