3M (NYSE: MMM) is joining the layoff front. This morning the company previewed a presentation it would give institutional investors detailing cost cutting actions. The company is lowering guidance and announcing layoffs.
The company will be laying off 1,800 workers, mainly in the U.S., E.U,and Japan. The company will also be "rationalizing" about 10% of itsmanufacturing capacity. In short, it will be sending some workers hometemporarily without pay to cut costs and will streamlining manufacturing locations as it sees fit.
And lower guidance is not something this conglomerate is immune from,either. Excluding items, the company adjusted its full-year 2008guidance from an earlier estimate of $5.40 to $5.48 per share to arevised estimate of $5.10 to $5.15 per share. 3M now also sees 2009EPS at $4.50 to 4.95 vs. $5.30 estimates.
The carnage continues.
Jon C. Ogg
December 8, 2008