DuPont Outlines Restructuring - TheStreet

DuPont

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Monday outlined a group of organizational and structural measures, including layoffs, to improve costs by $1.3 billion in the next two years.

The Wilmington, Del.-based chemicals company also said it wants to achieve 6% revenue growth on an annual basis. The changes are a result of DuPont's recent decision to sell its Invista unit.

"In essence, we are launching a new DuPont," the company said in a statement.

Among the changes, DuPont will leverage and center its staff functions, support services, and manufacturing operations; consolidate product lines by at least 20% to improve variable margins; and increase its focus on emerging markets, especially China.

The company expects the measures to yield $450 million in cost savings in 2004 and $900 million in 2005.

DuPont will announce the number of layoffs and any restructuring charges when it releases first-quarter earnings on April 27.