Milacron Holdings Corp (NYSE:MCRN) wholly-owned subsidiary Ferromatik Milacron GmbH entered into an agreement with its local works council, Betriebsrat der Ferromatik Milacron GmbH, setting forth a restructuring plan related to its manufacturing facility in Malterdingen, Germany (“Plan”). The Plan is expected to impact approximately 120 employees with certain operational functions being shifted to the Company’s operations in the Czech Republic. Product design, sales and service will continue to be based out of the Malterdingen, Germany area. This consolidation of manufacturing capacity to the Czech Republic is part of the Company’s global organizational redesign and cost reduction initiatives undertaken to reduce operating costs of the Company and maximize our operating efficiency and flexibility.
In connection with the Plan, the Company expects to incur severance and other related costs of approximately $13 to $15 million. Substantially all of these costs are anticipated to result in future cash expenditures and the Company expects these actions to be substantially complete by the end of 2017.