Pentair to Cut 10% of Workforce
Company will also close more facilities, blaming sluggish demand
Water equipment maker Pentair, Inc. announced on Dec. 18 that it plans to trim its workforce by about 1,600 positions, or approximately 10% of its personnel, and that it will close more facilities, bringing the total number of closed facilities to 15 over 2008 and 2009.
“The speed and impact of sluggish demand in global markets and consumer spending has had a deeper impact on our orders and sales volumes than we previously expected,” said Randy Hogan, Pentair’s chairman and CEO.
Hogan said that the recent economic problems come on top of a sluggish two years of sales, forcing the company to engage in more cost-cutting initiatives. Pentair said that fourth-quarter 2008 sales are expected to be down to $770 million from an earlier expectation of $840 million, and sales in 2009 compared with 2008 are now expected to fall by 8% to 10%.