by Christopher Freeburn | April 8, 2013 10:24 am
On Monday, Avon (NYSE:AVP) said it will withdraw from the Irish market and trim its payroll.
The beauty products maker will cut 400 workers from its worldwide operations. Last year, the company said it would leave Vietnam and South Korea. It hopes to slash annual expenses by $400 million within two years, Reuters noted.
Avon has experienced years of falling sales in its core markets. Last year, it tapped Sheri McCoy to head the company’s turnaround. She has expressed a willingness to withdraw from under-performing markets.
The latest payroll reduction will produce estimated annual savings of between $45 million and $50 million. The layoffs, which come on the heels of 1,500 job cuts announced late last year, will be finished by the end of this year.
McCoy has said that boosting Avon’s sales in the U.S. is a critical objective. The company posted better-than-expected fiscal fourth-quarter earnings in February.
Shares of Avon dipped slightly in Monday morning trading.
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