Tuesday, June 9, 2015

Disclaimer : The data was gathered in about 1 minute.

Calcbench took a quick look at annual corporate re-structuring charges over the last 6 years. What we found impressed us (and not necessarily in a good way).

Typically, firms re-structure their businesses and call it a one-time affair. But a cursory glance at the data says that these charges are anything but one time.

A brief summary will explain more than our words. In the table below you will find summary level information on firms that report re-structuring charges on their Income Statements since 2009. In 2010, the number seems to have dropped as many firms were coming out of the recession and it was likely that there were other issues on the plates of corporate managers.

In 2009, 160 firms reported total restructuring charges of $17.2 billion for an average of $107.7 million per firm! Please note that not all firms have reported 2014 yet.

Year Firms Total Charges ($ MM) Avg. Per Firm ($ MM)
2009 160 $17228.8 $107.7
2010 156 $12478.7 $80.0
2011 156 $17016 $109.1
2012 168 $22599.2 $134.5
2013 167 $18054.4 $108.1
2014 131 $13683.5 $104.5

Firms that have reported a re-structuring charge every year since 2009 are noted below

Merck & Co., Inc.
Hewlett Packard Co
Alcoa Inc.
General Motors Co
Honeywell International Inc
TE Connectivity Ltd.
Symantec Corp
Bristol Myers Squibb Co
Whirlpool Corp /DE/
Time Warner Inc.
Motorola Solutions, Inc.
Xerox Corp
Emc Corp
Coca-Cola Enterprises, Inc.
Metlife Inc
Newell Rubbermaid Inc
Time Warner Cable Inc.
Boston Scientific Corp
Owens Illinois Inc /DE/
Emerson Electric Co
Sealed Air Corp/DE
Allstate Corp
Mohawk Industries Inc
Interpublic Group Of Companies, Inc.
Goodyear Tire & Rubber Co /OH/
Devon Energy Corp/DE
Applied Materials Inc /DE
Campbell Soup Co
Juniper Networks Inc
Level 3 Communications Inc
Bb&T Corp
Corning Inc /NY
Vertex Pharmaceuticals Inc / MA
Perkinelmer Inc
Abbott Laboratories
Analog Devices Inc
Adobe Systems Inc
Pall Corp
Yahoo Inc
Laboratory Corp Of America Holdings
Cablevision Systems Corp /NY
Amerisourcebergen Corp
Cbs Corp
Waste Management Inc
Discovery Communications, Inc.
Dun & Bradstreet Corp/NW
Autodesk Inc
Dentsply International Inc /DE/
United Rentals Inc /DE
Altria Group, Inc.
Sigma Aldrich Corp
Wyndham Worldwide Corp
Fmc Corp
Ralph Lauren Corp
International Flavors & Fragrances Inc
Skyworks Solutions, Inc.
Weyerhaeuser Co
Whole Foods Market Inc
Sherwin Williams Co

Below is a table that indicates firms that have reported a Charge Five out of the Last Six Years

Citigroup Inc
Philip Morris International Inc.
Baxter International Inc
Oracle Corp
Best Buy Co Inc
Delphi Automotive PLC
Ca, Inc.
Texas Instruments Inc
Nielsen N.V.
Twenty-First Century Fox, Inc.
Harman International Industries Inc /DE/
Hartford Financial Services Group Inc/DE
Staples Inc
Agilent Technologies Inc
Stryker Corp
Cardinal Health Inc
Centurylink, Inc
Broadcom Corp
State Street Corp
Seagate Technology plc
Dow Chemical Co /DE/
Marsh & Mclennan Companies, Inc.
Dupont E I De Nemours & Co
Tenet Healthcare Corp
Republic Services, Inc.
Hospira Inc
Kla Tencor Corp
Estee Lauder Companies Inc
Harley Davidson Inc
Akamai Technologies Inc
Electronic Arts Inc.
Ryder System Inc

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