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Layne Christensen board approves cost-cutting plan

On June 12, the board approved management's plan to implement a series of short-term and long-term cost cutting actions in order to improve Layne's liquidity and results of operations. These actions include cost containment measures, working capital management, and a strategic review of under-performing assets and operations. These actions are expected to generate annual savings of $12M-$20M. Management believes this plan will assist Layne to have sufficient funds and adequate financial resources available to meet its anticipated liquidity needs. The timing and costs of the plan may vary from Layne's current estimates based on many factors. Layne may incur other material charges not currently anticipated due to events that could be beyond Layne's control which may occur as a result of, or associated with, the plan and related activities and as such, actual results could differ from current estimates.