Worthington Industries (WOR) Announcs Closure of Florence, S.C. Engineered Cabs Facility; Sees Charge

Worthington Industries (NYSE: WOR) announced y that it will close its Florence, S.C. Engineered Cabs facility effective September 2015, impacting approximately 310 employees. It also announced a workforce reduction at its Oil and Gas Equipment locations in Garden City, Kan., Skiatook, Okla., and Bremen and Wooster, Ohio, impacting approximately 245 employees.

"The weaker market conditions in Engineered Cabs combined with a need for significant capital investments to address production challenges led to this decision," said John McConnell, Chairman and CEO. "We will be transitioning business to our Greeneville, Tenn. operations to better serve our customers." McConnell added, "These decisions that so deeply impact the lives of our employees are never easy or taken lightly." Severance packages will be provided based on years of service and employment assistance will be offered to employees in Florence and in the Oil and Gas locations.

The Company will record a non-cash charge of approximately $81.6 million for restructuring and the impairment of the goodwill, intangible and certain fixed assets of the Engineered Cabs business, and a $2.3 million restructuring charge for severance benefits related to the workforce reductions at the Oil & Gas Equipment locations. Worthington Industries will be releasing third quarter results on Wednesday, March 25 after the market closes, followed by an analyst conference call at 10:30 a.m. ET on Thursday, March 26.

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