Trinity Biotech has announced a restructuring of its business that will result in a one-time write-off of about $39.5 million (€26 million) before tax in the fourth quarter of 2007.
The Irish and Nasdaq-listed said it will streamline its haemostasis and infectious diseases product lines, close its Swedish manufacturing facility, reorganise its sales and marketing function, and focus on research and development.
Trinity Biotech, which produces diagnostic products for the medical and laboratory markets said the restructuring will involve a headcount reduction that will yield annual payroll savings of $5 million, Trinity added.
The company said the headcount reduction will help counteract the impact of the weakening US dollar and normal wage inflation.
It plans to cull a total of 106 haemostasis and 69 infectious diseases products. It said the cull will have a minimal impact on revenues going forward.
The company will launch its newly consolidated range of haemostasis products under the new "Trini" brand during 2008.
Trinity's plant in Umea, Sweden, which produces part of its haemostasis portfolio, will be closed and the products transferred to the company's Irish and US facilities at minimal incremental cost, resulting in an overall net saving of about $0.5 million a year.