Bloombergreports that the Avon cosmetics company is going to cut an 1,200 jobs by 2013. They are also closing a plan in Springdale, Ohio and a factory in Germany.
Costs to implement the reorganization, combined with expenses related to an 2005 restructuring plan, led to a charge of $90 million, or 19 cents a share, in the second quarter, the New York-based company said today in a statement.
Avon reiterated it expects the 2009 program to cost $300 million to $400 million and help create $200 million of annualized savings by 2012-2013. The company will close a Springdale, Ohio, plant by mid-2012 and a factory in Neufahrn, Germany. The job cuts account for 2.9 percent of Avon's workforce.
This is less than the 3,000 positions the company said it planned to cut over the next four years in February. A Reuters story suggests that because some jobs are going to be created over the next four years the total number of jobs lost will be less.
Bloomberg 
