German frozen food company FRoSTA plans to cut 80 jobs out of its current workforce of 1,100, as it tries to cut costs and return to profit in 2004.
The job cuts, part of FRoSTA’s restructuring programme, are expected to result in cost savings of €3.5m (US$4.1m) in 2004 and €1.5m in 2005.
The company posted a net loss of €6.6m for the first nine months of 2003, compared to a €1.7m net profit a year earlier. FRoSTA said it expects to post a net profit for the fourth quarter of 2003, and a full-year 2003 net loss.
The restructuring programme also includes the relocation of FRoSTA’s German marketing and sales departments from Bremerhaven, northwest Germany, to Hamburg, in northern Germany, reported the German News Digest.