Logitech to focus on mobile, improve PC profits and lay off 5 percent of global workers

Logitech is looking to improve its business by shifting around some things including more mobile product, more profitability in PC market and some lay-offs. This is not surprising to us at Majorgeeks, which is one reading you are reading this. PC sales are not dead, but they have slowed and this is due to smartphones and tablets so we continue to bring you the most interesting news. If you want the gory details, here is the official press release:

"Logitech International (SIX: LOGN) (Nasdaq: LOGI) today announced an organizational alignment to the strategic priorities outlined by newly appointed CEO Bracken P. Darrell last month. These priorities include increasing focus on mobility products, improving profitability in PC-related products and enhancing global operational efficiencies. This alignment to the strategic priorities creates incremental cost savings of approximately $16 to $18 million in operating expenses in Fiscal Year 2014, a result of a workforce reduction. This is in addition to the previously announced $80 million savings in annual operating costs (operating expenses plus costs of goods sold) for Fiscal Year 2014 related to the Company’s April 2012 restructuring.

“As we align the organization with our strategy to become a faster, more profitable company, we have also created opportunities to become more focused, improve operational effectiveness and even deliver additional cost savings that will contribute to improved profitability,” said Bracken P. Darrell, Logitech president and chief executive officer. “These actions support our goals to develop outstanding mobility- and PC-related products, streamline our cost structure and achieve faster times to market.”

Logitech anticipates recording a pre-tax, cash charge of approximately $12 to $14 million in the fourth quarter of Fiscal Year 2013. The charge is related primarily to personnel reductions, with the Company eliminating approximately 140 positions, or 5 percent of its worldwide non-direct-labor workforce.

Additional information regarding the restructuring charges is provided in Logitech’s Current Report on Form 8-K being filed with the U.S. Securities and Exchange Commission on March 1, 2013 and made available on Logitech’s website at http://ir.logitech.com."