Playtex to Cut 300 Jobs

Playtex Products, Inc. announced its new management will cut more than 300 jobs by the end of this year, accounting for about 20% of its workforce.

The cost-cutting layoffs will affect all of Playtex’s locations, executives said. Other measures will include facility consolidations, outsourcing and accelerated depreciation of certain assets. The company also plans to outsource its household glove manufacturing to Malaysia, reduce corporate headquarters office space and reorganize divisions. Playtex hopes these changes will save $12-14 million in 2005, and $22-24 in 2006.

“Many of these initiatives are already underway, and others will be initiated shortly,” said Neil DeFeo, president and chief executive officer. “We expect to use the cash generated from the realilgnment to reinvest in our core businesses and pay down debt.”