FairPoint (FRP) to Cut 400 Positions Company Wide
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Price: $15.95 --0%
Financial Fact:
Interest expense: -20.7M
Today's EPS Names:
BTTX, VAXX, ELYS, More
Financial Fact:
Interest expense: -20.7M
Today's EPS Names:
BTTX, VAXX, ELYS, More
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FairPoint Communications, Inc. (Nasdaq: FRP) today announced plans to reduce its workforce over the next several months by approximately 400 positions.
Both management and union employees will be affected across the company. The company intends to notify approximately 100 affected management employees later this month and will follow prescribed steps in the collective bargaining agreement covering union employees. FairPoint has declared an employee surplus affecting approximately 300 union positions.
FairPoint expects the reduction in force to result in annualized operating expense savings of approximately $34 million, with the full benefit realized in 2012.
The company expects to provide severance or incentive payments to eligible affected employees. The total amount of such payments is expected to range from $7 million to $13 million.
Both management and union employees will be affected across the company. The company intends to notify approximately 100 affected management employees later this month and will follow prescribed steps in the collective bargaining agreement covering union employees. FairPoint has declared an employee surplus affecting approximately 300 union positions.
FairPoint expects the reduction in force to result in annualized operating expense savings of approximately $34 million, with the full benefit realized in 2012.
The company expects to provide severance or incentive payments to eligible affected employees. The total amount of such payments is expected to range from $7 million to $13 million.
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