Analogic completes restructuring initiatives

Analogic Corp. said today that it completed its restructuring initiatives on July 31 and expects its cost structure to be lowered.

The medical and security imaging equipment maker reorganized its engineering staff, reduced its workforce and instituted a voluntary retirement program for its U.S. personnel.

The restructuring will result in a one-time charge of about $4 million in the fourth quarter. The company expects to save at least $5 million annually.

About 40 employees were laid off.

The company will also amortize intangible assets and inventory fair value adjustments related to its recent acquisition of Copley Controls Corp., which makes parts for MRI machines. Analogic said it would record a $3.1 million charge in the fourth quarter, a $1.6 million charge in the first quarter of the 2009 fiscal year and an ongoing charge of about $700,000 in following quarters.

Analysts polled by Thomson Financial, on average, forecast earnings of 65 cents per share on sales of $121.5 million in the fiscal fourth quarter ending July 31.

Shares added $1.33 to $72.83 in morning trading. The stock has ranged from $50 to $79.02 in the last 52 weeks. (AP)