Vishay Precision Announces Restructuring, Sees $4 Mln Charge - Quick Facts

(RTTNews) - Vishay Precision Group, Inc. (VPG), a producer of precision sensors and systems, announced restructuring and cost reduction actions as part of efforts to improve overall efficiency by lowering operating costs by about $6 million annually, beginning in 2016.

The company noted that the cost reduction steps, which will include additional workforce reductions in the Weighing and Control Systems segment, have already begun and reflect recent market conditions.

The company expects the restructuring and cost reduction plan to result in a cash restructuring charge of about $4 million, which will primarily impact the fourth fiscal quarter of 2015.

Vishay Precision said that the cost reductions are expected to come from lower manufacturing costs, including savings from a force sensor facility closure in Asia in the second quarter of 2016, with continued production consolidation into the company's facility in India.

The company also expects to consolidate and streamline certain product lines in the Foil Technology Product and Force Sensors segments.