X-Rite Restructures in Response to Economic Downturn.Business Editors GRAND RAPIDS Grand Rapids, city (1990 pop. 189,126), seat of Kent co., SW central Mich., on the Grand River; inc. 1850. The second largest city in the state, it is a distribution, wholesale, and industrial center for an area that yields fruit, dairy products, farm produce, , Mich.--(BUSINESS WIRE)--Sept. 25, 2001 X-Rite, Incorporated (Nasdaq:XRIT) announced today that it would take a restructuring charge restructuring charge The expense of reorganizing a company's operations. A restructuring charge is an infrequent expense that generally results from asset writedowns or facility closings. in the third quarter of $800,000 in connection with the elimination of 60 jobs. The company cited the economic downturn in North America North America, third largest continent (1990 est. pop. 365,000,000), c.9,400,000 sq mi (24,346,000 sq km), the northern of the two continents of the Western Hemisphere. as the primary motivator for this action, and noted that the workforce reduction would save $3.5 million annually. "These decisions are an unpleasant reality of hard economic times, and something we do not take lightly," said Michael C. Ferrara, president of X-Rite, Incorporated. "X-Rite has a responsibility to its customers, employees and shareholders to continuously assess all of its operations in order to deliver growth and profitability. We believe our core product markets can provide long-term growth, but for now they have slowed as a result of negative world economies and multiple industry slowdowns. These actions will allow us to continue to support new business initiatives and embrace new technological advances as we move into new markets with cutting-edge products and services." The company also stated that the reduction of jobs will affect all parts of its business and was not the result of a specific product or market downturn. Third quarter earnings are scheduled for release on October 18, 2001. A conference call will be scheduled closer to that date and available via webcast from the company's website, www.xrite.com. About X-Rite X-Rite, Incorporated is a world-leader in producing precision measurement devices, systems, and processes that enhance the measurement of color not of the white race; - commonly meaning, esp. in the United States, of negro blood, pure or mixed. See also: Color , light and shape. Many large, multi-national firms use X-Rite's products and services for a variety of applications in areas as diverse as digital imaging, printing, coatings, biomedical bi·o·med·i·cal adj. 1. Of or relating to biomedicine. 2. Of, relating to, or involving biological, medical, and physical sciences. diagnostics, telecom and electronics. Sales and service offices throughout Europe, Asia and the Americas support the Company's North American North American named after North America. North American blastomycosis see North American blastomycosis. North American cattle tick see boophilusannulatus. and European manufacturing, research & development facilities. For more information, contact X-Rite, Incorporated: 3100 44th Street, S.W., Grandville, Mich., 49418, USA; Telephone (616) 534-7663; Fax (616) 534-9215; Website: http://www.x-rite.com. Forward Looking Statements This release may contain forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. within the meaning of the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. Actual results may differ materially from those projected in the forward-looking statements, due to a variety of factors, some of which may be beyond the control of the Company. Factors that could cause such differences include the Company's ability to improve operations and realize cost savings, competitive and general economic conditions, ability to access into new markets, and other risks described in the Company's filings with the Securities & Exchange Commission. |
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