Summary
Cardinal Health, Inc. (CAH) filed an 8-K on April 30, 2007, detailing a further phase of its ongoing global restructuring program. This third phase involves relocating the headquarters of its Healthcare Supply Chain Services – Medical segment and certain corporate functions from Waukegan, Illinois, to its main corporate headquarters in Dublin, Ohio. The company has authorized up to $45 million in costs for this specific phase, which are expected to be primarily employee-related and result in future cash expenditures, with most costs anticipated in fiscal year 2008 and 2009. These costs are being absorbed within the overall authorized budget for the restructuring program.
Key Highlights
- 1Cardinal Health is initiating a third phase of its global restructuring program, focusing on relocating its Healthcare Supply Chain Services – Medical segment headquarters and corporate functions.
- 2The relocation will move these operations from Waukegan, Illinois, to the company's primary corporate headquarters in Dublin, Ohio.
- 3The company has authorized up to $45 million in costs specifically for this relocation effort.
- 4These costs are expected to be primarily employee-related and will result in future cash expenditures.
- 5The majority of the $45 million in costs are anticipated to be incurred during fiscal years 2008 and 2009.
- 6This third phase's costs are being managed within the total authorized amount for the overall global restructuring program.
- 7The press release announcing this move is included as an exhibit to the filing.
Frequently Asked Questions
This 8-K filing primarily announces a third phase of Cardinal Health's global restructuring program, which involves relocating the headquarters of its Healthcare Supply Chain Services – Medical segment and certain corporate functions from Waukegan, Illinois to Dublin, Ohio.
The company has authorized up to $45 million in costs associated with this specific relocation effort. These costs are expected to be primarily employee-related and will lead to future cash expenditures.
The majority of the $45 million in costs are anticipated to be incurred in fiscal year 2008, with the remainder expected in fiscal year 2009. The relocation activities are expected to be substantially completed by the end of fiscal year 2009.
No, the filing states that the total authorized costs for the global restructuring program remain $243 million. The costs for this third phase are being reallocated from prior cost authorizations within the existing program budget.