Printer Friendly

-Norwegian EDB ErgoGroup to slash 105 jobs.

NORDIC BUSINESS REPORT-December 29, 2010--Norwegian EDB ErgoGroup to slash 105 jobs(C)2010 M2 COMMUNICATIONS http://www.m2.com

29 December 2010 - Norwegian IT group EDB ErgoGroup ASA (OSL: EDBASA) will reduce its workforce by 105 employees in the first half of 2011 as part of the synergy programme related to the merger between EDB Business Partner and ErgoGroup.

The job cuts will affect staff and support functions, as well as IT operations, the group said today. The move, which is the first phase of the planned synergy programme, has been approved by the board of directors.

As a result, provisions for restructuring costs of NOK65m will be booked in the fourth quarter of 2010. In addition, EDB ErgoGroup will incur NOK10m operational costs related to the synergy programme and another NOK25m costs related to planning, detailing and implementation of the programme.

For the entire synergy programme, provisions for headcount reductions are expected to total NOK150m and operational costs are also projected at NOK150m.

The synergy programme is expected to have a total effect of NOK325m over a period of 18 months, staring from January 2011.

EDB ErgoGroup was formed via the merger of EDB Business Partner and ErgoGroup in mid-October 2010.

(EUR1 = NOK7.8)

((Comments on this story may be sent to info@m2.com))

COPYRIGHT 2010 Normans Media Ltd.
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2010 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Title Annotation:EDB ErgoGroup ASA
Publication:Nordic Business Report
Article Type:Brief article
Geographic Code:4EXNO
Date:Dec 29, 2010
Words:216
Previous Article:-Swedish Kungsleden to sell German real estate portfolio for SEK1.3bn.
Next Article:-Swedish Peab to build swiming facility for SEK292m in Gothenburg.
Topics:

Terms of use | Privacy policy | Copyright © 2019 Farlex, Inc. | Feedback | For webmasters