* Plans 400 job cuts in 2009, will be more
* Has “sale pending” of unspecified business unit
* No “major contract” cancellations
BOSTON, Jan 21 (Reuters) - Diversified U.S. manufacturer SPX Corp SPW.N plans to lay off an additional 400 workers this year and is pursuing the sale of a business unit as it cuts costs in the face of a global economic downturn, its top executive said on Wednesday.
The maker of products ranging from cooling towers for power plants to automotive diagnostic tools last year trimmed hundreds of jobs and with this round of cuts will have cut its workforce by about 1,700 people, or 10 percent of the total.
“As we look at other businesses, there will be some additional job cuts that will match declining end-markets in certain businesses,” Chairman and Chief Executive Chris Kearney said in an interview ahead of an investor presentation due to begin at 1 p.m. EST (1800 GMT).
He added that the Charlotte, North Carolina-based company has a “sale pending” of a business unit but declined to provide further details.
Earlier on Wednesday, SPX said it expected to incur $65 million of restructuring costs this year as it laid out a 2009 profit forecast that was below Wall Street’s 2008 expectations for the company. [ID:N21425572]
SPX is facing slowing demand in its transformer business in the United States due to tough credit conditions, but its sales to the developing world are holding stronger, Kearney said. “We’re not seeing major contracts canceled but what we are seeing is in some cases investment decisions deferred, reflecting softer economies around the world,” Kearney said.
(Reporting by Scott Malone, editing by Gerald E. McCormick)
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