Wolverine World Wide to cut 450 jobs

ROCKFORD, Mich. (AP) - If there's been one safe haven in a world of economic insecurity, it's been Wolverine World Wide Headquarters in Rockford.

Thursday morning, that sense of security went the way of so many others now standing in unemployment lines.

"They just called me into another room and and said here it is, and that's it," said Troy Ruprecht, a graphic designer laid off after about a year with the company. "Yeah, it did seem like it was a pretty secure job. Other than today."

Company officials will not say how many jobs were cut at headquarters.

Another casualty of the restructuring is the tannery in Rockford. Wolverine officials say it's one of the last in the nation. By the end of 2009, the tannery's work will go the way of the others, outsourced, probably to another country, leaving 90 employees out of work.

The decision to combine the company's Canadian distribution operations with U.S. operations in West Michigan will result in 70 new jobs being created.

In all, Wolverine World Wide will cut 450 jobs corporate wide, about 10% of their workforce.

24 Hour News 8 checked a Security and Exchange Commission document that indicates company leaders settled on the reorganization plan Wednesday and implemented it Thursday .

"When fully implemented, the Company expects the restructuring plan will result in a net reduction of approximately 450 positions and will generate an annualized pretax benefit in the range of $17 million to $19 million," according to a statement released by the company.

Back at Wolverine Headquarters, Ing Hu, a computer programer and another target of the cuts was among the employees seen making a slow trek through the parking lot to their vehicles, carrying a box of their belongings.

Asked if he saw this coming, Hu said, "No, I didn't. I didn't expect this coming. Not at all."

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Separately, the company said it acquired Cushe , a United Kingdom footwear brand. Financial terms were not disclosed.

In October, Wolverine World Wide said profit for its fiscal third quarter rose 6 percent to $31.2 million, ahead of analyst expectations, while revenue rose 3 percent to $318.9 million.