LAKE FOREST, Ill. (Nov. 2)—Tenneco Automotive plans to cut up to 250 salaried positions in a restructuring designed to lower its cost structure and improve efficiency.
In addition, Tenneco is reducing the number of strategic business units to six from eight.
The job cuts, mostly at middle and senior management levels, amount to about 6 percent of the firm's salaried work force and should be completed by the end of the first quarter of 2005. Tenneco said it will take a charge between $20 million and $24 million over the next two quarters related to the move, which it expects to save the company $20 million annually.
"The reality of volatile market conditions makes this move imperative," Chairman and CEO Mark P. Frissora said in a statement.
Tenneco's Australia/New Zealand operations will become part of a new Asia-Pacific unit while the South American operations will be moved into the European unit.