SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): March 30, 2000
BALDWIN TECHNOLOGY COMPANY, INC.
(Exact name of registrant as specified in its charter)
Delaware 1-9334 13-3258160
(State or other (Commission (I.R.S Employer
jurisdiction of File Number) Identification No.)
incorporation)
One Norwalk West, 40 Richards Avenue, Norwalk, Connecticut 06854
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: 203-838-7470
(Former name, former address and former fiscal year, if changed since last
report.)
Item 5. Other Events
On March 30, 2000, Baldwin Technology Company, Inc. (the "Company") issued a
press release announcing a corporate restructuring plan designed to reduce
the Company's worldwide cost base and strengthen its competitive position as
a leading global supplier of auxiliary equipment to the printing and
publishing industry.
Item 7. Financial Statements and Exhibits
(c) Exhibits
99.1 Press release of Baldwin Technology Company, Inc. issued March 30,
2000: Baldwin Announces Corporate Restructuring Plan.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
BALDWIN TECHNOLOGY COMPANY, INC.
BY s\ James M. Rutledge
Vice President, Chief Financial
Officer and Treasurer
Dated: April 7, 2000
Exhibit Index
Exhibit No.
99.1 Press release of Baldwin Technology Company, Inc. issued March
30, 2000: Baldwin Announces Corporate Restructuring Plan.
4
FOR IMMEDIATE RELEASE
Contact: Helen P. Oster
203-866-3497
BALDWIN ANNOUNCES CORPORATE RESTRUCTURING PLAN
NORWALK, CT, March 30, 2000 - Baldwin Technology Company, Inc. (ASE:BLD)
announced today a corporate restructuring plan to reduce the Company's
worldwide cost base and strengthen its competitive position as a leading
global supplier of auxiliary equipment to the printing and publishing industry.
The Company estimates that the cost of implementing the restructuring plan
will be approximately $7 million of which $5 million will be recorded as a
charge in the quarter ending March 31, 2000. The balance will be charged as
incurred during implementation. Separately, the Company will also record in
the quarter ending March 31, 2000 a tax benefit of $4 million to recognize
the effect of a net operating loss carryforward in one of its foreign
subsidiaries.
The restructuring plan is expected to reduce costs by more than $6 million
per year by mid-2001. These net savings are a consequence of the consolidation
of certain facilities, the concentration of higher production volumes at other
facilities, and a reduction in total employment of approximately 100 from the
current level of 1,030.
Commenting on these initiatives, Gerald A. Nathe, Chairman and President said,
"These actions, in combination with the recently announced senior management
appointments and the restructured marketing, sales and service organizations,
are intended to revitalize the
March 30, 2000 Page 2 of 2
Company and provide the infrastructure to support sustained, profitable growth
in the future."
The reduced costs will allow us to deliver competitively priced products to the
market while improving our profit margins. The plan is essential to our
strategy of aggressively pursuing opportunities in the sheetfed and web
press marketplace as well as in the newspaper arena. In addition, this plan
provides the base for our strategy of building a material handling equipment
presence in the small format, short run, digital segment of the printing and
publishing market. Pursuing this strategy will require repositioning our
material handling equipment focus, and will involve making certain acquisitions
and divestitures to implement the strategy."
Finally, Mr. Nathe noted, "As we complete the fiscal third quarter ending
March 31, 2000, net income, exclusive of restructuring and other special items,
is expected to be at approximately the average of the two previous quarters of
the fiscal year, reflecting continued global softness for equipment in the
commercial web market. Order rates in general, however, are strengthening and
our backlog is growing."
CAUTIONARY STATEMENT--This Release contains statements regarding expected future
order and sales rates, operating margins and profitability which may constitute
"forward-looking" information as defined in the Private Securities Litigation
Reform Act of 1995 or by the Securities and Exchange Commission. Investors are
cautioned that any such forward-looking statements are not guarantees of future
performance and actual results may differ materially as the result of certain
factors discussed in the Company's Securities and Exchange Commission.
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Baldwin Technology Company, Inc. is the leading international manufacturer of
controls, accessories and material handling equipment for the printing industry.
