Dover Announces Rightsizing Plan

Dover announced a rightsizing plan designed to increase operating margin, enhance operations and position the company for sustained growth and investment.
 
The plan is primarily comprised of broad-based SG&A reduction initiatives, which will position the company for meaningful operating margin expansion. The company expects the program to deliver $130 million of annualized pre-tax earnings by year-end 2019, of which $30 million will be reinvested in high-return growth initiatives. The program will not affect the company’s research and development activities.
 
The one-time pre-tax costs to implement the program are estimated to be $40 million, with approximately $30 million of the costs to be recorded in the second half of 2018, and the remaining $10 million to be recorded in the first half of 2019.