July 30, 2019

BrunswickThe July 23 announcement comes after the company had announced it was eliminating 100 salaried positions last month. The actions are anticipated to produce an additional $30 million to $35 million in full-year cost reductions as further measures to drive greater efficiency and reduce the annual operating costs of its Marine businesses -- both boat and engine -- by an estimated $30 million to $35 million.  This follows the June 27, 2019 announcement of the streamlining of its corporate support functions related to the sale of its Fitness business.

“These actions will reduce cost in our marine operations and are consistent with the right-sizing of our corporate functional support organization announced last month,” said Brunswick Chief Executive Officer David M. Foulkes. “Together, these enterprise-wide programs will result in a reduction of approximately $50 million in annual run-rate costs, due in large part to a nine percent reduction in our global salaried workforce.  These actions are designed to ensure that Brunswick is able to continue to aggressively invest in business transformation and growth initiatives across a broad range of potential economic and marine market scenarios.”      

Today’s announcement includes the planned establishment of a leaner operating structure within Brunswick’s boat businesses, which will enable the Company to more easily leverage synergies in certain areas of the business.  This structure will also facilitate further initiatives to reduce both indirect and direct costs and take better advantage of Brunswick’s scale in market-facing organizations, all of which will allow for continued investment in new products and business initiatives to drive future growth.

Similarly, Mercury Marine, Brunswick’s engine division, has taken actions across its global propulsion and P&A businesses to streamline operations while continuing to invest in additional capacity for high horsepower engines, new product development and advanced technologies.

The large majority of actions announced July 23rd have already been implemented.  There will be a partial-year impact in 2019, and almost all the $50 million of cost reductions will have a full-year impact in 2020.   Brunswick stated it expects to record restructuring charges of $7 million associated with these actions. 

“Actions like these affecting our colleagues and co-workers are never easy but are necessary for us to continue to invest in the future of our business.  We thank the departing staff members for their service to Brunswick and wish them well in their future careers and endeavors.  We deeply appreciate the commitment and contribution of all of our employees,” concluded Foulkes.  

Featured Articles

  • Prev
The United States Sailboat shows announces its celebration of 50 years in Annapolis. From ...
The Association of Marina Industries (AMI) has partnered with Boating Ontario to bring our ...
The Fort Lauderdale International Boat Show (FLIBS), with its ever expanding fleet of ...
Are you registered for IBEX? If you are, look for the email invitation to get your colleagues and ...
How can your business attract and retain top talent? How can our industry attract new people? We ...
Remember the old saying that if you never expect anything then you’ll never be disappointed? Well ...
Kelowna Yacht Club is the first facility in the province’s Interior region to be awarded Clean ...
The world’s oldest continuously operating fibreglass boatbuilding company is Hourston Glascraft in ...
Getting his Peterson 29 Foxy Lady ready for what will be his 53rd consecutive Chester ...
On July 31st, 2019, Mercury Marine Canada announced that they will be partnering with Georgian ...

REGISTRATION IS OPEN FOR THE 2019 BOATING BC CONFERENCE PRESENTED BY MERCURY MARINE

 

Be The ChoiceHow can your business attract and retain top talent? How can our industry attract new people? We have to Be the Choice. It’s a challenge in today’s business climate and the focus of the 2019 Boating BC Conference. You’ll come away with insights into BC’s labour market, strategies to attract talent and leadership techniques to help keep them. You’ll also learn the latest in digital strategies and how they impact your businesses relationships. This event is an opportunity you won’t want to miss!

Read more about the 2019 Boating BC Conference................................

 

Marine Products

  • Prev
XPS is adding new products to its portfolio with the introduction of 20 new ...
Ritchie Navigation, the world's largest manufacturer of magnetic compasses, has acquired the ...
Since its introduction, the BlueSky electric sliding hatch quickly became the premier hardtop ...
The LT-4200 will be one of the first terminals to support the Iridium Certus 200 service class as ...
Fusion, a worldwide leader in marine audio entertainment, has announced the release of the new ...
The key to an effective VHF radio system is a quality antenna that delivers maximum transmission ...
TACO Marine launched a fully electric VHF mount and a fully electric anchor & stern light that ...
Every boat has that one spot where a grab rail is needed, but was never added due to the complexity ...
When a job calls for maximum holding strength, flexibility, and a professional finish where the ...
With the goal to stabilize every boat on the water, Seakeeper, the leader in marine ...

People

  • Prev
Atlas Copco Compressors Canada announces the appointment of Ariel Rubinstein ...
Navico, parent company to the Lowrance®, Simrad®, B&G® and C-MAP® brands has announced that its ...
George Armendariz, CEO of Groupe Beneteau Americas, announced today the appointment of Yannick ...
According to the Minneapolis Star Tribune on April 10 2019, Irwin Jacobs and his wife were found ...
Co2 Inflatables is pleased to announce that Jason Edwards, formerly of Grand/Gala Marine, will be ...
Marine electronics pioneer Darrell Lowrance, 80, passed away Saturday morning after suffering a ...
Extremely popular and well respected for leading the reemergence of Iconic Marine's three ...