Thursday, July 10, 2008

Intermec Cuts Staff On Lower Estimates

Everett, Washington-based Intermec, a developer of RFID and other supply chain tracking products, said Thursday that it will cut 260 employees over the next 9-12 months. The firm said the move comes as part of a plan to "streamline its global supply chain operations." Intermec said that it would relocate the final assembly of its product from Everett, to a electronics services provider, and also consolidate two of its U.S. service depots to locations in Charlotte, NC and Monterey, Mexico. The consolidation also includes move of its on-site, field service repair to a third party supplier. The move comes as the firm announced revenue guidance of $216 to $218M in its 2008 Q2, down from $227 to $232M for the quarter. The company attributed the change in guidance to "certain enterprise level projects that were deferred into future periods."