SunOpta Cuts Jobs, Restructures Business
TORONTO (AP) — SunOpta Inc. said Monday that it will cut 6 percent of its workforce and reorganize some of the underperforming parts of its business.
The company, based in Toronto, processes products for natural, organic and specialty foods.
SunOpta will eliminate its fruits business segment and create a new consumer products group, which will focus on non-grain items. The company plans to have four operating segments: ingredients, consumer products, international foods and grains and food.
The company declined to disclose the exact number of jobs being cut or the total size of its workforce. It expects one-time severance costs of $500,000 in the first half of the year.
SunOpta anticipates the moves will save it $3 million annually, before taxes, when completed.
The company also said Monday that it expects to post a loss of 11 cents per share for the fourth quarter. That includes a non-cash charge of $8.6 million, or 13 cents per share, to write down the value of certain assets and inventory.
SunOpta expects adjusted earnings of 7 cents per share, which is in line with the forecast of analysts polled by FactSet.
SunOpta is scheduled to report its fourth-quarter results March 6.
The company's shares fell 16 cents, or 3 percent, to $5.12 in afternoon trading.