siloamsprings.htm
UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
WASHINGTON,
D.C. 20549
FORM
8-K
CURRENT
REPORT
PURSUANT
TO SECTION 13 OR 15(D) OF THE
SECURITIES
EXCHANGE ACT OF 1934
Date of
Report (Date of earliest event reported): February 12, 2010
FRANKLIN
ELECTRIC CO., INC.
(Exact
name of registrant as specified in its charter)
Indiana
(State or
other jurisdiction of incorporation)
0-362
(Commission
File Number)
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35-0827455
(I.R.S.
Employer Identification No.)
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400
E. Spring Street
Bluffton,
IN
(Address
of principal executive offices)
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46714
(Zip
Code)
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Registrant’s
telephone number, including area code: (260)
824-2900
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Check the
appropriate box below if the Form 8-K filing is intended to simultaneously
satisfy the filing obligation of the registrant under any of the following
provisions (see General
Instruction A.2. below):
[ ] Written
communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
[ ] Soliciting
material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
[ ] Pre-commencement
communications pursuant to Rule 14d-2(b) under the Exchange Act
(17
CFR 240.14d-2(b))
[ ] Pre-commencement
communications pursuant to Rule 13e-4(c) under the Exchange Act
(17
CFR 240.13e-4(c))
Item
2.05.
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Costs
Associated with Exit or Disposal
Activities.
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On
December 9, 2008, Franklin Electric Co., Inc. (the “Company”) announced a
restructuring plan for the rationalization of manufacturing capacity between the
manufacturing complex in Linares, Mexico and its other North American
plants. That plan was largely completed by the end of the second
quarter of 2009.
As a
follow-on step, on February 12, 2010, the Company approved and announced to the
affected employees its plan to close its Siloam Springs, Arkansas manufacturing
facility. Most production activities at the plant had already been
relocated under the previously-announced restructuring plan and the remaining
activities are expected to be transferred to other Company facilities by the end
of the third quarter of 2010.
The
Company has estimated that this final step will include pre-tax closing costs of
$3.8 million to $4.5 million to be incurred over the next three quarters
beginning with the first quarter of 2010. These changes are in
addition to those previously estimated in the Company’s December 9, 2008
announcement. The major categories of the additional cost include the
following:
(in millions)
Severance
and other employee assistance
costs $0.4
to $0.5
Pension
curtailments 0.6
to 0.7
Asset
write-offs 2.5 to
2.8
Equipment
relocations
0.3 to 0.5
The
charges for pension curtailments and asset write-offs, about 80 percent of the
total, are non-cash. The remaining categories of costs represent cash
expenditures to be recognized as they are made.
SIGNATURES
Pursuant
to the requirements of the Securities Exchange Act of 1934, the registrant has
duly caused this report to be signed on its behalf by the undersigned hereunto
duly authorized.
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FRANKLIN
ELECTRIC CO., INC.
(Registrant)
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Date: February
12, 2010
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By:
/s/John J. Haines
John J. Haines
Vice President, Chief Financial
Officer
and Secretary
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