Sean Moloughney01.19.10
NutraCea, Phoenix, AZ, has reduced its U.S. workforce by 17% as part of management's continuing efforts to improve the company's cost structure.
The reduction, which is anticipated to save NutraCea approximately $1 million annually, does not impact the workforce at Irgovel, NutraCea's Brazilian subsidiary.
W. John Short, Chairman & CEO of NutraCea, said, "We deeply regret having to make this difficult but necessary decision as we continue to restructure the company. Our goal continues to be to reduce costs and increase profitable sales in an effort to enhance our liquidity and become cash flow positive in the second half of 2010." He added, "I want to thank the employees affected by this reduction for their dedication and efforts on behalf of NutraCea and wish them the best in their future endeavors."
On November 10, 2009 NutraCea filed for court-supervised protection to restructure its operation under Chapter 11 of the U.S. Bankruptcy Code.
The reduction, which is anticipated to save NutraCea approximately $1 million annually, does not impact the workforce at Irgovel, NutraCea's Brazilian subsidiary.
W. John Short, Chairman & CEO of NutraCea, said, "We deeply regret having to make this difficult but necessary decision as we continue to restructure the company. Our goal continues to be to reduce costs and increase profitable sales in an effort to enhance our liquidity and become cash flow positive in the second half of 2010." He added, "I want to thank the employees affected by this reduction for their dedication and efforts on behalf of NutraCea and wish them the best in their future endeavors."
On November 10, 2009 NutraCea filed for court-supervised protection to restructure its operation under Chapter 11 of the U.S. Bankruptcy Code.