Total restructuring and other charges for these European initiatives and the closing of the previously announced Hillsville, Virginia, plant were $1.8 million in the second quarter. They expect additional charges for the above actions of approximately $3.5 million to $4.5 million over the balance of the year which, together with costs incurred to date, will result in annualized savings of approximately $6 million."
Mr. Van der Merthey concluded, "As they enter the second half of 2005 and begin the planning process for 2006, they will leverage the capabilities of a significantly strengthened management team. I am very excited about their prospects to build stronger market positions around the world."
"At the same time, they will continue to pursue opportunities in the emerging RFID market. They will aggressively pursue profitable growth through continued global expansion, focused cost reduction initiatives and strategic acquisitions. They are committed to sustainable earnings growth, improving return on invested capital and increasing shareholder value."
For the third quarter, earnings per share are projected in the range of $0.23 to $0.26 on sales of $198 million to $203 million. For the year, they project earnings per share in the range of $1.06 to $1.12 on sales of $807 million to $817 million.
The above financial outlook does not include restructuring and other charges associated with the closing of the Hillsville, Virginia, plantand the European initiatives, which are projected in the range of $0.05 to $0.06 per share in the third quarter and $0.15 to $0.17 per share for the year.
New York based leading label company Paxar Corporation provides innovative merchandising systems for the retail and apparel industry. Paxar designs and manufactures tickets, tags and labels, and we provide the technology—including the printers, software control systems and necessary supplies—for retail product identification. Our customers include the world's major retailers, branded apparel companies and contract manufacturers.