LAKE FOREST, Ill. (AP) -- Tenneco Inc. on Wednesday announced that it will cut 1,100 jobs worldwide and close five facilities in a broad restructuring of operations as the company grapples with an industry downturn.
The maker of emission and ride control systems for automobiles said the move and other cost cutting efforts are expected to save $64 million a year. Tenneco expects to record charges of up to $60 million for restructuring — of which $25 million will be recognized in the fourth quarter and the rest through 2009.
The company is restructuring one North American plant and closing four, including a Milan, Ohio, elastomer facility and an original equipment emission control plant in Evansville, Ind. Its Dunsborough, Australia, engineering operation will be shut down as well.
Tenneco said the other affected facilities will be identified in the near future.
About 500 salaried jobs and 600 hourly positions are being eliminated. The restructuring is expected to be completed by the end of next year.
Earlier this year, Lake Forest, Ill.-based Tenneco cut over 1,150 jobs globally — of which 760 were in North America. Before the cuts, Tenneco had a total work force of about 21,000.
"We must act quickly by better aligning our operations with the new realities of the market," said Gregg Sherrill, chairman and chief executive, in a statement.