PPG Industries Inc. is trimming 4 percent of its global workforce as the world’s largest paint and coatings company tries to reduce costs related to a spate of recent acquisitions.
The Downtown-based company said it was cutting 1,700 jobs as part of a restructuring that also includes reducing production capacity. About 40 of PPG’s 2,500-person workforce in Pittsburgh will lose jobs, the company said.
PPG is aiming to achieve $100 million to $105 million in annual pretax savings by 2017 from the restructuring. Further details of the capacity reductions were not available, the company said.
PPG spent about $2.4 billion buying companies last year, part of a long-term strategy to grow through acquisitions.
Pittsburgh City Council today approved acting police Chief Cameron McLay to head the city’s police bureau. Chief McLay has been serving as acting chief since September.
The unanimous vote with virtually no discussion came a day after a 2½-hour confirmation hearing for the 56-year-old former Madison, Wis., police captain, who is the first outsider ever hired to lead the department, according to Mayor Bill Peduto’s staff.
Chief McLay will be formally sworn in at 4 p.m. this afternoon in the mayor’s office.
Also today, council passed the mayor’s controversial plan to reorganize the Bureau of Building Inspection into a new Department of Permits, Licenses and Inspections.
U.S. Steel Tower in downtown Pittsburgh, Pennsylvania. (Photo credit: Wikipedia)
Losses from U.S. Steel Corp.’s restructuring continued despite revenue and operating results that beat analyst’s expectations.
The loss was an improvement from a year ago and was helped by the company’s flat-rolled steel operation and other segments, which did their best since 2008. Operating profit from flat-rolled, tubular, U.S. Steel Europe and other units totaled $479 million, or $94 per ton of steel produced, the company said. That compared to $113 million, or $24 per ton a year ago.
“Steel market conditions in the United States have remained stable, and our operations have performed well, particularly our flat-rolled segment, where we returned to more normal operating levels and income from operations increased by over $300 million from the second quarter,” CEO Mario Longhi said. “Our results reflect the significant improvement in our earnings power from our Carnegie Way transformation efforts.”
The pizza restaurant chain Sbarro on Monday filed for bankruptcy protection for the second time in less than three years, after struggling with too much debt and lower customer traffic in the malls that house many of its restaurants.
Sbarro and more than 30 affiliates filed for Chapter 11 protection from creditors with the US bankruptcy court in Manhattan.
English: JCPenney store at the Holiday Village Mall in Great Falls, Montana, taken March 4, 2007. (Photo credit: Wikipedia)
Struggling department-store operator J.C. Penney Co. announced it will cut 2,000 jobs and close 33 stores – including its stores in Exton and Burlington – as it tries to get back on the path to profitability.
The news raises concerns that Penney’s holiday season sales were not what the company hoped for and that the chain needs to do even more to recover from a turnaround plan that has had disastrous results.
J.C. Penney said earlier this month said it was pleased with its holiday results but declined to give sales figures, raising worries among Wall Street analysts about how the season actually fared.
Penney has 116,000 staffers and operates more than 1,100 stores.
Lancaster County‘s transit organization will manage BARTA for at least the next six months, officials with both groups said Monday.
The agencies will continue to operate separately but Lancaster’s Red Rose Transit Authority will share its executive leadership with BARTA.
David W. Kilmer, Red Rose executive director, will lead both organizations, dividing his time between Reading and Lancaster.
The move comes as BARTA works to restructure its leadership following the death last month of Dennis D. Louwerse, its longtime executive director. Managers have been keeping projects and operations moving with oversight from the agency’s board of directors.
Map of Bucks County, Pennsylvania, United States with township and municipal boundaries (Photo credit: Wikipedia)
Teva Pharmaceutical Industries will cut about 5,000 jobs, 10 percent of its workforce, accelerating a cost-cutting plan as it prepares for lower-priced competition for its best-selling drug.
Teva, the world’s largest maker of generic drugs, said it expects to save about $2 billion a year by the end of 2017.
In May, the company announced plans to close its West Rockhill Township manufacturing plant in 2017, eliminating more than 450 jobs there and dealing a significant blow to northern Bucks County‘s employment base.
Teva is the Pennridge-area’s second-largest employer after Grand View Hospital.
Although Merck had a higher than anticipated second-quarter profit, stocks are down 2 percent and a new round of job eliminations is planned that could cut as many as 13,000 from the workforce.
Since 2009, Merck eliminated 12,500 positions but only reduced headcount by 6,000. The latest round of cuts would bring the total number of jobs eliminated by Merck to 30,000, since 2009. The workforce will drop from 91,000 (July 2011) to about 80,000. The job cuts are to be completed by 2015.
Merck makes Singulair, Januvia and Janumet (their three top-selling drugs). Singulair’s patent is expiring next year which will cut profits as generics hit the market. Adjusted earnings for Merck came to $2.95 billion, up 9 percent over last year. Revenue was $12.15 billion, up seven percent over analyst’s projections.
Time will tell what this means for the Lansdale plant.