LAFAYETTE, Ind. — Wabash National is eliminating approximately 500 jobs, including both hourly and salary positions, as part of a cost reduction program to meet the widespread economic slowdown.
It also announced that it would not meet analysts’ earnings estimates for the first quarter 2001, which it believes to be 3 US cents to 10 US cents per share.
Wabash National chairman, president and chief executive officer, Jerry Ehrlich stated, “unfortunately, in this economic climate and like many companies across the country, we are faced with decisions that are difficult to make. Wabash National has had a long history of being a steady employer in many communities, however, under the current economic environment, we feel this action is necessary as part of our continuing efforts to operate the business effectively and profitably.”
The company says its first quarter results will include costs associated with its restructuring activities, including the exit from manufacturing products for export outside the North American market, international leasing and financing activities, and to a lessor degree, the consolidation of certain domestic operations. It adds that these details had been previously announced.
It also expects that the cost reductions from the restructuring and job cuts will help its results during the second quarter.