Mattel cuts over 2,200 positions, or 22% of non-manufacturing workforce
Mattel announced a reduction of over 2,200 positions, representing 22% of global non-manufacturing workforce, as well as the planned sale of manufacturing sites in Mexico. The company says it is on track to deliver $650M in savings, reflecting "progress in Structural Simplification program to restore profitability and improve efficiency." Ynon Kreiz, Chairman and CEO of Mattel said, ""While the industry is evolving, the toy market continues to grow, and we should be able to reverse our own trends given our strong standing and the quality of our assets. With that said, we are in a turnaround and as expected, had a challenging second quarter driven primarily by the Toys 'R' Us liquidation. At the same time, we saw continued strong performance by Barbie and Hot Wheels, and we made substantial progress on our Structural Simplification program to restore profitability and improve productivity in the near-term. Our goal is to transform Mattel into an IP-driven, high performing toy company and I'm confident we have the right team, the right assets and the right strategy in place to achieve this and enhance long-term value for our shareholders."