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| SWM > SEC Filings for SWM > Form 8-K on 21-Apr-2009 | All Recent SEC Filings |
21-Apr-2009
Results of Operations and Financial Condition, Costs Associa
On April 20, 2009, Schweitzer-Mauduit International ("the Company") announced preliminary financial results for the first quarter of 2009 and announced the closure of a French mill (See further detail in Item 2.05).
The press release relating to these announcements is attached hereto as Exhibit 99.1. Such information, including Exhibit 99.1 attached hereto under Item 9.01, shall not be deemed "filed" for purposes of Section 18 of the Securities Act of 1934, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, except as expressly set forth by specific reference in such filings.
Due to continuing losses at our finished tipping paper production facility, Papeteries de Malaucène SAS in Provence, France, the Company on April 17, 2009, committed to a plan to divest the site through closure of the mill with a goal to subsequently sell the mill assets. The planned closure is expected to reduce employment by 210 people. Although the terms of severance will not be finally known until meetings and negotiations with the unions and the Work's Council are complete, we expect to incur approximately $22 million in restructuring charges, including an estimated $20 million in cash severance payments and non-cash charges of $2 million, to be recorded beginning in the second quarter of 2009 through the planned completion of the actions in the fourth quarter of 2009.
Certain of the above statements regarding employee reductions, restructuring expense, resulting benefits and the timing of those actions constitute "forward-looking statements." For those statements, we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. There can be no assurance that these forward-looking statements will be accurate since they are based on many assumptions which involve risks and uncertainties. The following important factors could cause the estimated employee reductions, earnings impacts and restructuring expenses to differ: changes in economic or industry conditions; issues arising from rationalization of operations; and other risks identified in our Securities and Exchange Commission reports and public announcements. We caution you not to place undue reliance on any forward-looking statement, and we undertake no obligation to update any forward-looking statements to reflect future events or developments.
On April 20, 2009, we issued a press release announcing our plan to divest the finished tipping production facility in Malaucène, France (attached hereto as Exhibit 99.1).
(d) Exhibit
99.1 Press Release, dated April 20, 2009, of Schweitzer-Mauduit International, Inc., announcing preliminary first quarter 2009 earnings range and plan to divest French mill.
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