This is a 15% decrease of the company’s domestic work force.
Severance costs associated with this reduction are expected to total between $8 million and $9 million. The cash impact of the severance will be incurred in the first quarter of 2009.
These reductions are an inevitable response to the recessionary environment and are necessary to strengthen Furniture Brands for the future, said Chairman and Chief Executive Officer Ralph P. Scozzafava.
