Posted on 03/15/2016 6:52:28 AM PDT by SeekAndFind
New York (AFP) - Struggling cosmetics company Avon Products, Inc. said it was eliminating 2,500 jobs and moving its headquarters to Great Britain, its latest restructuring after selling off its North American business.
The changes were expected to cost $60 million before taxes in mostly employee-related charges in the first quarter of 2016, but headcount reduction will result in $30 million in savings this year, the company said in a statement, released on Monday.
Savings were expected to reach up to $70 million in 2017.
Avon has "significant commercial operations" in Great Britain and the move would happen "over time," the statement said, without giving a specific timeline.
"With the recent completion of the sale of the North American business, our commercial operations are now fully outside of the United States, allowing us to dramatically rethink our operating model," Avon CEO Sheri McCoy said in the statement.
The company will maintain two facilities in New York state, continue to be incorporated in New York and trade on the New York Stock Exchange.
Shares of Avon (AVP) were up two percent in after-market trading.
As of late last year, Avon employed 28,300 people outside of North America.
(Excerpt) Read more at news.yahoo.com ...
Avon upon Stratford-Upon-Avon?
Today’s news also has some more for Trump or Cruz after Trump talks about it!-)
U.S. retail sales dropped in February and the prior month’s gain was revised to a decline, calling into question the narrative that bigger gains in consumer spending would propel economic growth at the start of 2016.
Avon’s door to door sales model has been in decline for years as more women work outside the home.
Avon still exists?! Another company that did not responds well to changing reality.
If they have sold their U.S. business then why should they keep their headquarters here?
Read the story. They no longer have any business in the U.S. having sold off their North American operations. So why keep their headquarters here?
I would have moved it to Singapore.
Taxes aren’t that great in UK.
Also, sales in a country being overrun by Muslims cannot be promising.
About the only thing that will keep Sand Flies off.
Taxes are fine.
We aren’t being overru.......oh whats the point.
I know, what with that London fog, all crime having to be solved by that Sherlock ‘Olmes. And all London business conducted by all them Cockernees on market stalls. All the Liverpudlians ‘ave to sell is Beatles records.
And then there’s the rest: all the Scots and Welsh have to sell are kilts, heather and leeks. How can you build a strong economy on that?.
Welcome, Avon.
Not the most brilliant move they could have made, both with England having to import everything by the shipload and being on the short list of nations about to become Muslim outposts.
That doesn’t ring a bell.
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