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RESTRUCTURING PLAN:
9 Months Ended
Sep. 30, 2016
RESTRUCTURING PLAN:  
RESTRUCTURING PLAN:

 

NOTE 14 — RESTRUCTURING PLAN:

 

In 2016, the Company initiated a restructuring plan with the overall goal to improve its sustainable earnings potential, asset utilization and operational performance. The plan implementation began in the first quarter of 2016 and concluded by the end of the third quarter of 2016. The plan focused on achieving the appropriate administrative workforce size, skill requirements, changes in management structure and consolidating functions for efficiency, including staff location and/or relocation. The plan was developed and managed by senior management of the Company’s majority shareholder, with assistance from an independent consulting group and was implemented in stages as functional areas of the Company were reviewed.

 

The total cost of the plan was $6.9 million which was included in selling, general and administrative expenses. As part of the plan, 231 employees, located in Peru and Mexico, accepted the severance package offered by the Company.