GenCorp to cut corporate employees through early retirement

SACRAMENTO, Calif. (Sept. 19)—On the heels of an early profit warning, GenCorp Inc. said it will restructure its corporate headquarters to reduce costs by about $3 million on an annual basis. The employee reductions will come through a voluntary early retirement program that could result in a fourth-quarter charge of $6 million to $8 million, the company said in a release. GenCorp said it expects its third-quarter earnings to be in the range of $0.10 to $0.12 per share, short of analysts' consensus expectations. The decreased earnings stemmed from poor performance in GenCorp's Aerojet Fine Chemicals unit and slower than expected recovery of GDX Automotive from inefficiencies in its North American operations, the company said.