3M to cut 2,000 jobs globally, lowers 2019 profit outlook

[BENGALURU] US manufacturing conglomerate 3M Co on Thursday said it would lay off 2,000 workers globally as it reported a lower-than-expected quarterly profit and cut its 2019 earnings forecast due to worsening performance in key markets.

The job cuts, part of moves to restructure its businesses into four operating units from five, would result in an estimated annual pre-tax savings range of US$225 million to US$250 million, with US$100 million in the remainder of 2019, the company said in a statement.

3M, which makes everything from adhesive tapes to air filters, said it now expects 2019 adjusted earnings between US$9.25 and US$9.75 a share, versus its prior forecast of US$10.45 to US$10.90 per share.

The shares of the company fell 7 per cent in premarket trading after the announcement.

REUTERS