Estimated read time: 1-2 minutes
This archived news story is available only for your personal, non-commercial use. Information in the story may be outdated or superseded by additional information. Reading or replaying the story in its archived form does not constitute a republication of the story.
PROVO, Utah (AP) -- Tahitian Noni International, which makes drinks and beauty and nutritional products from the South Pacific's noni fruit, has laid off 130 workers in Provo and American Fork.
The move is intended to shift resources from its central Utah office to key regional offices and markets worldwide, the Provo-based company said.
The layoffs, which represent nearly 8 percent of the company's global work force of 1,650, took effect Thursday and affected departments including training and support, call centers, marketing, and lower executive management.
The affected workers were given "very generous severance packages, outplacement support services, letters of recommendation and had their health insurance extended for two months," said Shon Whitney, the company's vice president of marketing communications.
"As we grow globally, it's hard to manufacture and provide international support from just one central location," Whitney said. "We will continue to have more than 700 workers in Utah. But we won't be as centralized as we used to be. We will continue to do R&D, product development manufacturing for North and South America from Utah.
"We're not restructuring the entire organization for cost-cutting reasons this time as much as we're shifting resources and jobs outside of Utah to seven of our key markets in the U.S., Japan, China, Taiwan, Germany, Norway and Sweden," Whitney said.
The United States accounted for 40 percent of the company's total sales of $530 million this past year. Japan is the company's second-largest market, accounting for 35 percent of total sales. Europe accounts for 10 to 15 percent.
Founded in 1996, the company is operating in 73 markets worldwide and has manufacturing plants in Tahiti, Japan and Germany.
(Copyright 2006 by The Associated Press. All Rights Reserved.)
