Brunswick to Cut More Jobs, Impose Pay Freeze

Brunswick Corp., the nation’s No. 2 boat manufacturer, said it plans unspecified additional job cuts, wage freezes and other cost-slashing moves due to the economic slowdown rocking the boat industry. The announcement came as the company announced a 38% decline in first-quarter profit and lowered expectations for full-year earnings amid what it expects to be a 10% drop in marine sales for 2001. Lake Forest, Ill.-based Brunswick this year has laid off more than 1,300 workers--15% of its boat group work force--and permanently closed four boat manufacturing plants. It also has suspended construction of a nearly completed boat plant in Florida and is temporarily shutting down eight other plants for one to five weeks starting this week. First-quarter earnings were $36.6 million, or 45 cents a share, down from $58.7 million, or 66 cents, a year earlier. Analysts surveyed by First Call/Thomson Financial had a consensus estimate of 46 cents a share. Brunswick’s stock fell 20 cents to close at $20.70 on the NYSE.