Tyco downsizing
This article was originally published in The Gray Sheet
Executive Summary
Diversified firm's plan to exit over 50 unidentified business units generating $2.1 bil. in sales - including at least some parts of Tyco Healthcare - will save an estimated $230 mil. by 2005, firm predicts. The restructuring program includes consolidating 219 non-healthcare facilities and cutting 7,200 employees, resulting in fiscal 2004 charges of approximately $400 mil. Fiscal fourth quarter 2003 (ended Sept. 30) results announced Nov. 4 included roughly flat revenues of $9.5 bil. and healthcare sales of $2.2 bil. (up 4.6%). The firm foreshadowed the paring of non-core businesses with the divestiture of its Surgical Dynamics spinal unit in June 2002 (1"The Gray Sheet" June 10, 2002, p. 3)...