GN ReSound today announced plans to reduce costs by creating a more lean and
competitive organization.
CEO of GN ReSound, Mike van der Wallen, says: “In 2008 GN ReSound won back
business and market share. Our focus was on stabilizing the business and the
organization. In 2009 we must continue to strengthen the foundation for
sustainable profitable growth despite the worsening in the global economic
outlook. We will therefore accelerate our efforts to increase our cost and cash
efficiency.”
An initial global reduction of more than 200 positions is being initiated.
Collective dismissals are contemplated in Denmark during January. Further
actions to trim spending and working capital will follow within the first
quarter of 2009.
“We regret that the changes will have negative impact on competent and
dedicated people in the organization. We will support all the effected
employees in making the transition in the best possible way under the
circumstances. Our objective is to ensure that GN ReSound will stand stronger
and more customer-focused after the changes,” says Mike van der Wallen.
Financial implications
It is expected that the reduced cost base will have a positive EBITA effect
already in 2009.
At the current point in time, GN ReSound reconfirms the full-year 2008 guidance
communicated on November 6, 2008.
GN Store Nord will provide detailed financial results for 2008 and financial
guidance for 2009 in connection with the release of the Annual Report 2008 on
February 26, 2009.
For further information, please contact:
Jens Bille Bergholdt
VP, Finance, IR & Communications
GN Store Nord A/S
Tel: +45 45 75 02 70
