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Categories: Corporate Results

Constellation Brands to Cut Jobs, Trims View

Source: Reuters
25/03/2009

New York, March 25 - Constellation Brands Inc cut its fiscal 2009 earnings outlook on Wednesday, citing disappointing demand in Europe and Australia during last year's Christmas and New Year holidays.

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The world's largest wine producer, with brands including Robert Mondavi and Clos du Bois, also said it plans to eliminate about 5 percent of its global workforce, as it seeks to manage costs in the recession.

As of March 31, 2008, Constellation had 8,200 full-time employees.

Constellation said it expected earnings of $1.60 to $1.62 per share, excluding special items, in the current fiscal year, down from its prior estimate of $1.68 to $1.72.

On a net basis, Constellation expects to earn $1.26 to $1.28 per share, since it must now record a $430 million goodwill impairment charge for its international businesses.



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