Arrow Electronics, Inc., Melville, NY, reported fourth quarter sales of $4.09 billion, a drop of 7.5% from fourth quarter 2007. Profit was $43.2 million, down 62%. During the fourth quarter, Arrow recorded a restructuring and integration charge of $44.4 million, primarily related to initiatives taken by the company to improve operating efficiencies.
The current economic conditions have forced Arrow to make difficult but necessary decisions to ensure that we maintain our leadership position, said Michael J. Long, president and COO. "We have already implemented a number of cost-saving initiatives to reduce the severity of impact that the deteriorating economic conditions will have on our business and employees. We estimate that the total impact of these actions will reduce costs by more than $175 million annually."
Fourth quarter global enterprise computing solutions sales of $1.64 billion increased 2% year over year. Including the acquisition of LOGIX, sales decreased 11%.
Global components sales decreased 13% to $2.45 billion.
Full-year sales for 2008 were $16.76 billion, up 4.9% from full-year sales in 2007. Arrow's profit was $301.4 million.
Arrow Electronics is a global provider of products and services to industrial and commercial users of electronic components and enterprise computing solutions through a global network of more than 340 locations in 53 countries and territories.