Retractable Technologies reduces workforce by 12.4%

* Retractable Technologies (NYSE:RVP [https://seekingalpha.com/symbol/RVP]) said on Wednesday that it has reduced its workforce [https://seekingalpha.com/pr/20175955-retractable-technologies-inc-announces-reduction-in-its-manufacturing-workforce] by approximately 12.4%.
* The reduction is expected to save an estimated $1.6M in annual wages and benefits, or approximately 8.6% of total estimated workforce costs.
* The expected savings is offset by one-time separation payments of approximately $56 thousand to the affected workers.
* The reduction targets the company’s manufacturing and manufacturing support positions as the company continues to balance its domestic manufacturing presence against its reliance on imported products and associated tariffs from its Chinese contract manufacturers.
* While contract manufacturers in China have historically produced most of the products the company sells, the material financial impact of tariffs on Chinese imports has caused the company to ramp up its domestic production activities. They are working to minimize the financial impact of the change.
* To the extent possible, the company will continue to import only those products that it cannot make domestically and rely on its Little Elm facility to produce the remainder of its products.

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* Financial information for Retractable Technologies [https://seekingalpha.com/symbol/RVP/income-statement]