Apogee Enterprises Announces Strategic Cost-Cutting Measures
Apogee Enterprises, a leading manufacturer of metal and glass products, is taking decisive action to accelerate growth and drive profitability. The company recently unveiled a comprehensive cost reduction plan that includes a strategic reduction in workforce.
To optimize efficiency, Apogee will be eliminating certain lower-margin products and sales offerings. This strategic move will enable the company to consolidate its architectural framing systems segment into a single operating entity. As part of this consolidation, production operations will be transferred from the Walker, Mich., facility to company facilities in Monett, Mo., and Wausau, Wis.
Additionally, Apogee plans to streamline resources and enhance processes within its architectural services and corporate segments. By implementing these measures, the company aims to create a leaner and more agile organizational structure.
The cost-cutting initiatives will be implemented immediately and are projected to save Apogee an estimated $12 million to $14 million annually. Unfortunately, these actions will result in a reduction of approximately 250 employees across various departments within the organization.
The company anticipates completing these actions by the third quarter of fiscal 2025. It expects to incur pre-tax charges totaling approximately $16 million to $18 million during this period.
Apogee Enterprises remains committed to its long-term growth objectives and believes that these strategic moves will position the company for sustainable success in the future.
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