Cool News
BRP (Bombardier Recreational), the maker of Ski-Doo, announced recently that it
would be reducing production volumes by 20% in 2009 as a reflection of retail
and inventory economic conditions.
Through a press release, BRP said they would be cutting expenses to a
minimum and implementing major changes to the organization.
These cuts include 550 white-collar jobs, 80% occurring this month and 20%
over the next nine months, according to the press release.
Already, 370 blue-collar employees were laid off before October 31, 2008,
and another 430 blue-collar employees have received temporary lay-offs during
their fourth quarter.
"These are very difficult decisions to make but we must take
appropriate preventive measures considering the seriousness of the
situation," said José Boisjoli, president and chief executive
officer. "We believe these measures will reduce our costs and make
BRP less vulnerable to drastic declines in revenues caused by events outside
our control, such as the current crisis," he added.
The
company will be creating two divisions:a Powertrain division and a Vehicle Development and
Manufacturing division.
Powertrain will deal with manufacturing and engineering Evinrude
and Rotax engines. Vehicle Development and Manufacturing will deal with
manufacturing and engineering Ski-Doo, Sea-Doo and Can-Am brands. In
addition, a Ski-Doo, Sea-Doo and Evinrude division of marketing will be
created.
"We
are confident these initiatives will help us come out of the recession a
stronger company because this new structure provides us with the tools to focus
on cost reductions, market strategies, product launches, product innovation and
to maximize synergies in both the Vehicle Development and Manufacturing
division and the Powertrain division," concluded Boisjoli.
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