Avon Swings To 4Q Loss; Plans Layoffs |
| Wall Street Journal - Feb 14, 2012 |
Avon Products Inc. (AVP) is planning some layoffs and other cost savings to stabilize results in the near term, but investors will have to wait until a new chief executive is named before hearing how the latest round of restructuring will set up the direct-selling beauty company for the long haul.
Avon, which swung to a fourth-quarter loss due to a write-down, will also delay other big picture decisions, like whether to hire a chief operating officer, until the company finds a successor to Chief Executive Andrea Jung, who plans to remain as executive chairman after relinquishing her CEO title.
Avon said the layoffs won't be as big as during prior restructuring phases. But the near-term fixes offered some hope for investors that Avon wouldn't wait to try to stabilize performance this year, after a weak fourth quarter that saw sales drop more than expected and Avon lose 3% of its active sales force.
The company also reassured investors that its sizable dividend would be maintained, and that it had enough cash to make the payout.
Read Full Article from Wall Street Journal
- Posted: 2012-02-14 12:04:14
| More Stock Investor Place Top Stories |
 |
|
|
|
| Stock Investor Place Top Stories Archive |
|
|
|
