Harris Cuts 230 Jobs; Intraplex Moves to Mason
May 8, 2003
The stalled economy and lengthening DTV transition have forced Harris to re-trench in order to cut operating costs.
The company said Tuesday it has eliminated approximately 230 positions, 125 in its corporate division and the balance, roughly 105, in the Broadcast Division.
Manufacturing jobs for TV and radio equipment were eliminated in Quincy, Ill., Mason, Ohio, and Sunnyvale, California last week, a spokeswoman said. Many of the positions were unfilled and part-time, she said.
Harris also confirmed it is closing its Intraplex plant in Littleton, Mass., and will outsource that product line. Some engineering managers and product line managers have been offered positions in Mason, the spokeswoman said. Harris acquired Intraplex, which manufactures telecom networking products, in 1999.
Actions in the company's fourth quarter will include reductions in labor and facility costs, discontinuation of several low-margin telecom products and disposal of assets remaining from the previously exited telecom switch business, Harris stated in an announcement.
Product lines to be exited include the wireless local loop WinRoll and RapidNet products, which were principally designed for international market applications. Also being discontinued is Harris' digital subscriber line test product aimed at the domestic CLEC market.
As a result of these cost reduction actions, the company expects pre-tax charges in the range of $30 million to $35 million, or approximately 30 to 35 cents per share in its fourth fiscal quarter.