Invacare Corporation Announces Reduction in Force as Part of Its Ongoing Transformation
Public Company Information:
ELYRIA, Ohio--(BUSINESS WIRE)--Invacare Corporation (NYSE: IVC) is in the midst of a three-phase business transformation from a generalist durable medical equipment company to one that focuses its strong technical capabilities on solving complex clinical needs for post-acute care. In 2016, the company invested significantly in recruiting and training within its North America commercial team, as well as marketing and engineering to advance its clinical product strategy. In 2017, the company is taking steps to align its infrastructure with this stage of the transformation. As part of this initiative, the company today announced a reduction in its workforce of approximately 100 associates. This reduction is part of the company's larger effort to be more efficient, and it is expected to generate approximately $6.6 million in annualized pre-tax savings.
“Invacare continues to make progress with our transformation plan. After investing in and reorienting the North America commercial organization throughout 2016, now we are focusing on realigning our infrastructure. This will include initiatives that streamline our operations, improve our processes, and remove complexity and cost from our business. These changes, while difficult, are an essential part of our transition to becoming a more sustainably profitable, growing business,” said Matthew E. Monaghan, chairman, president and chief executive officer.
Customary transition assistance will be provided to affected employees as a result of this transition.
Due to the realignment, the Company expects to incur restructuring charges of approximately $2.2 million on a pre-tax basis.
Invacare Corporation (NYSE: IVC), headquartered in Elyria, Ohio, is a global leader in the manufacture and distribution of innovative home and long-term care medical products that promote recovery and active lifestyles. The company currently has approximately 4,600 associates and markets its products in approximately 100 countries around the world. For more information about the company and its products, visit Invacare's website at www.invacare.com .
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