Sunday, September 16, 2007

E.D.S. Offers Exit Incentives to 12,000 Workers


PLANO, Tex., Sept. 12 (AP) — Electronic Data Systems, the technology-outsourcing company, said Wednesday that it had offered extra retirement benefits to about 12,000 employees in the United States if they would retire early.

In a filing with the Securities and Exchange Commission, the company said it expected the offer to result in a charge against fourth-quarter earnings of $70 million to $130 million.

The company said the charge was not reflected in earlier earnings guidance. Because the offer will be financed almost entirely from the company’s retirement plan, it will not affect cash flow, Electronic Data said.

The company said its board approved the early-retirement offer on Friday and employees were told about it on Tuesday. They have until Oct. 30 to accept.

Employees who accept the buyout will receive an additional $10,000 from the retirement plan and extra credits to their retirement account, E.D.S. said.

While cutting jobs in the United States and Europe, the company has been adding workers in low-cost countries, chiefly India.

A spokeswoman for the company said it had 136,000 employees, including 35,000 in low-cost countries. It expects to have 45,000 in low-cost nations next year.

Shares of E.D.S. fell 49 cents, to close at $21.89.

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