Colgate-Palmolive restructuring
This article was originally published in The Rose Sheet
Executive Summary
Company states that it is on schedule with its restructuring program announced in 1991 ("The Rose Sheet" Sept. 16, 1991, p. 1). As of the end of 1993, Colgate had closed 11 factories and reconfigured 13; the firm said in 1991 that 25 plants would be affected. Consolidations achieved to date include production of all soap for the U.S. and Canada at one location, manufacture of toothpaste at three sites in Western Europe and production of Colgate Total toothpaste for Southern Africa at one central facility, the company notes in its recently released annual report. Colgate has eliminated over 2,000 positions worldwide so far; when it announced the restructuring, the company estimated it would cut 2,000 posts. Savings from the restructuring are being used for research and development, advertising, new product launches, geographic expansion, acquisitions and dividends