will shutter an industrial ceramics plant in France, laying off 95 workers, in an effort to cut costs as the company continues to feel the pain of weakening demand for its products.
The defense contractor said it will take total charges of $11 million to $13 million for costs related to the closure, including paying out severance and writing down the value of assets. Ceradyne said it will transfer production from the 88,000-square foot plant in Bezet, France, to a subsidiary in Kempten, Germany.
Most of those charges will appear on the company's second-quarter financial statement, Ceradyne said.
Ceradyne, which, among other things, makes ceramic armor plates for U.S. soldiers, has been steadily ratcheting down financial forecasts for the year. In April, it reported a 47% drop in revenue year-over-year, and said new orders fell 29% from a year ago.
Ceradyne shares were up modestly in afternoon trading Tuesday, changing hands at $20.93 on light volume.
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