NEW YORK – Kemet Corp., a maker of electrical parts used in cell phones and computers, on Monday said it would cut 1,600 jobs in a move to curtail production amid a downturn in demand for electronics.
The Greenville, South Carolina-based company said it would cut 600 staff in the United States and another 1,000 staff in Mexico. The company had about 9,200 employees as of Sept. 30, according to its 10-Q filing for quarter ended that date.
Kemet said it will record a restructuring charge of about $25 million in the current quarter as a result of the cost cutting. The company said in a statement it will continue to operate at reduced capacity levels well into 2002 despite indications that order rates are improving.
Shares of Kemet were off 12 cents at $18.36 in mid-day trade Monday on the New York Stock Exchange