U.S. Markets closed

GenCorp plans to reduce headcount by up to 225 employees

GenCorp reported that on January 30, the company began providing notices to employees whose employment may be terminated as part of a cost reduction plan. The restructuring plan contemplates the reduction of the company's overall headcount. If the plan is implemented as proposed, the workforce reduction would affect up to approximately 225 employees, and is expected to be completed by the end of March. In connection with such implementation, the company expects to incur costs of approximately $15.7M, consisting of costs for severance, employee-related benefits and other associated expenses. "While the company believes its anticipated restructuring savings will exceed restructuring costs by a factor of at least two to one, there can be no assurance that the company will be successful in obtaining the anticipated savings," GenCorp said.