Penfold Buscombe rounds off its QLD restructuring

The restructuring follows the purchase of Scanlon Printing and Octane Digital earlier this year and the closure of the company’s manufacturing facility in Cairns. A new small-scale site had been secured in Cairns to take care of the prepress, estimating and sales functions in the city, with all of the printing work transferred to the three Penfold Buscombe sites in Brisbane.

A new operations manager has been appointed to work with Tony Scanlon, general manager of Queensland operations, to maximise efficiency at the manufacturing plant in Ormeau, Brisbane. The site is now aligned closely with the Scanlon and Octane businesses with a new team structure and equipment line-up, and what the company describes as “more efficient shift structures” that have lead to a “significant reductions in staff levels.”

Overall the restructuring has resulted in 46 staff redundancies across the state leading to annualised annual savings in staff costs of $2.4 million. The redundancies and equipment disposal associated with the initiatives will cost Penfold Buscombe just under $1 million for the financial year.

The group confirms it anticipates a further $0.75 million in restructuring costs from across the country, which it expects to deliver further annual cost savings. Profits of $9 million are expected for the 2005/06 financial year.