Adam Huening, Greensburg Daily News
Masco Corp., parent company of the local Delta Faucet Co. plant, said it will have to cut 8,000 jobs totaling roughly 16 percent of its U.S. work force by the end of the first quarter of 2007.
The announcement was made by Richard Manoogian, chairman and chief executive officer, during a teleconference discussing the company's big loss in its fourth quarter of 2006. Masco is one of the nation's largest manufacturers of home improvement and building products
Despite the large number, Jim Funcheon, human resources manager for the local Delta plant, noted the jobs are spread over the entire Masco Corp., which includes a number of different products.
Funcheon also said January's local layoffs were Delta of Greensburg's contribution to the job cuts.
"The 53 we announced earlier this year are part of that 8,000," Funcheon said.
With those layoffs, Funcheon said Greensburg's facility has done its part, and employees can rest assured no other jobs will be tallied in that 8,000.
"There are no plans for any future layoffs at this plant," he said.
Masco, maker of Delta and Peerless faucets and Behr paints, reported a net loss of $187 million, or 49 cents per share, during the three-month period that ended Dec. 31 compared with a profit of $173 million, or 41 cents per share, during the last quarter of 2005.
Sales dropped 6 percent to $2.95 billion versus the year-ago's $3.13 billion.
For all of 2006, profit fell by half to $488 million, or $1.22 per share, while sales rose 2 percent to $12.78 billion from $12.57 billion.
Despite record sales during 2006, Manoogian said Masco's sales and profit margins for the year were hurt by a decline in the new home construction market that accelerated during the last six months.
Additional information was provided by James Prichard, Associated Press Business Writer.