MOLINE, Ill., Nov. 20 (UPI) -- John Deere & Co. said Tuesday it will cut 10 percent of its headquarters staff following $320.1 million net loss for its fiscal fourth quarter.
The loss compares to earnings of $71.1 million, or 30 cents a share, in the same quarter last year.
Deere said it has sold its Homelite consumer products business to TechTronics Industries Co. Ltd. of Hong Kong, and plans to sell its Loudon, Tenn., factory and move production of skid steer loaders to its Dubuque, Iowa, facility. The closure will result in a $30 million charge.
Deere did not specify how many jobs would be affected at its Moline headquarters. The Loudon plant employs 370 people and 300 likely will be laid off, the company said.
Deere blamed the fourth quarter loss on a slowdown in shipments of farm equipment because of the faltering economy. The loss also includes charges of $216.6 million related to previously announced early-retirement programs, the exit from the hand-held products business and restructuring of some manufacturing and marketing operations.
Deere is predicting flat sales in fiscal 2002.
