Warren-based ANADIGICS Inc., a radio frequency company, announced Thursday that it has restructured its business model to help reduce its operating costs and improve growth opportunities in its market.
The restructuring is expected to lower manufacturing and operating costs by more than $15 million annually, the company said in a news release. It also plans to eliminate approximately 150 positions, or 30 percent of its workforce. The workforce restructuring is expected to save $2.3 million.
"With a strong infrastructure design-win trajectory, I'm pleased we're able to accelerate our strategy to expand in infrastructure markets, and with that, lower our fixed manufacturing and operating costs," Ron Michels, chairman and CEO of ANADIGICS, said in the release. "We believe that these steps, coupled with our previously announced $10 million cost-savings initiatives, should enable the company to deliver significant EBITDA improvements and profitability leverage from a lower breakeven revenue level."
The company expects revenues for the quarter ending June 28 to reach approximately $23 million, with infrastructure contributing to a larger percentage of revenue than previous quarters.
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