Interline Brands, Jacksonville, FL, a distributor of MRO products, plans to cut its work force, consolidate 10 distribution centers over the next six months and make other moves to cut costs. The distributor says it is seeing adverse conditions across its core end-markets and does not expect to meet its previously issued earnings per share range for the fourth quarter 2008.
Interline will be eliminating 85 full-time positions. This reduction and other cost cuts are expected to generate annualized savings of about $12 million.
The decision to downsize is never easy to make, and we thank our affected employees for their many important contributions, said CEO Michael Grebe. "However, these actions are necessary to ensure that our cost structure aligns with current and expected market dynamics.
Grebe said that the decision to consolidate DCs was the "right decision regardless of present market conditions."
Interline will release its fourth-quarter and year-end results on Feb. 19, 2009.