Newell Rubbermaid (Atlanta, Georgia / USA; www.newellco.com) expects to achieve annual savings of between USD 50m and USD 60m by 2012 through a reorganisation of its European business. The plan to lower costs and improve the profitability of the organisation will simplify and streamline the company’s structure and business processes in Europe. Management functions will be scrutinised in the reorganisation and no plant closures or job losses are expected. The company intends to centralise business decision-making functions in Switzerland and says that once the plan is implemented it will be better positioned for improved profitability and growth. Costs associated with the restructuring are expected to reach between USD 90m and USD 100m and will be incurred substantially by the end of 2011.

“The intended actions we are announcing today to simplify our business structure, speed up decision making and shorten time to market are designed to ensure that our company is well-positioned and appropriately structured for sustainable, long-term growth in Europe,” said Mark Ketchum, Newell Rubbermaid president and CEO.

The company confirmed its earlier full year 2010 guidance for normalised earnings of USD 1.38 to USD 1.48 per share and plans to report normalised earnings excluding costs associated with the European transformation plan.