CLEVELAND (April 17)—Eaton Corp. will cut 600 jobs across its Fluid Power business over the next three months to compensate for an 18-percent decline in its hydraulic orders during the first quarter compared to last year's corresponding quarter. Eaton posted net income of $50 million on net sales of $1.98 billion for the first quarter, compared to net income of $131 million on sales of $2.18 billion during the first three months of 2000. During the first quarter of this year Eaton realized a pretax gain of $38 million primarily from the sale of its Vehicle Switch/Electronics Division to Delphi Automotive Systems Corp. The supplier also took a charge of $38 million related to restructuring of its truck components business and a charge of $7 million related to the continuing integration of Aeroquip-Vickers Inc. "Looking ahead, we expect current market conditions to continue through midyear, and we will continue our initiatives to size the business to these activity levels," said Alexander M. Cutler, chairman and CEO.
Eaton to cut 600 fluid power jobs
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