AgJunction Inc. (TSX: AJX), the Autosteering Company(TM), announced today the future closing of its facilities in Fremont, California and Brisbane, Australia, along with related reductions in workforce, as the company continues its consolidation strategy into the existing corporate headquarters in Scottsdale, Arizona.
AgJunction continues to focus on its core strategy to grow the market for autosteering while improving its own operational efficiency. The company plans to close its Brisbane and Fremont facilities resulting in an approximate 25% reduction in workforce by year end. Affected employees are being offered severance and outplacement assistance.
"As we continue to focus on our strategic capabilities and building both our library of intellectual property and the revenue it generates, we are equally focused on aligning our operating expenses with our desire to produce long-term profitability for our shareholders," said Dave Vaughn, AgJunction's president and CEO. "These combined efforts follow the strategy we implemented last year to expand autosteering to all farmers by simplifying our solutions and our channels to market. I want to express my appreciation to all of our employees and their commitment to AgJunction and our customers as we continue to execute on our strategy."
AgJunction expects the consolidation of facilities and reduction in workforce to result in an approximate 11% decrease in operating expenses once fully implemented.
About AgJunction
AgJunction Inc., the Autosteering Company(TM) is a global leader of advanced guidance and autosteering solutions for precision agriculture applications. Its technologies are critical components in over 30 of the world's leading precision Ag manufacturers and solution providers and it holds approximately 200 patents and patents pending in the US, Canada, Europe, South America and Australia. AgJunction markets its solutions under leading brand names including Novariant(R), Wheelman(TM), and Whirl(TM) and is committed to advancing its vision by bringing affordable hands-free farming to every farm, regardless of terrain or size. AgJunction has locations in California, Arizona, and Australia, and is listed on the Toronto Stock Exchange (TSX) under the symbol "AJX."
