SPACEHAB has announced plans to restructure corporate functions and reduce staff to streamline operations, improve efficiency, and lower overhead costs. The Company anticipates the 15-20% reduction in workforce, approximately 36 positions out of 220, to result in savings of $3.9 million annually. The reductions eliminate redundant capabilities as SPACEHAB's support of NASA's space shuttle program moves toward completion of the Company's last contracted mission, utilizing the Logistics Single Module on STS-118 currently scheduled for launch in June 2007.
SPACEHAB announced that none of the Company's facilities are closing as a result of the plan and that all necessary skills required to successfully support International Space Station resupply, and SPACEHAB's 22nd, mission remain firmly in place to accomplish all mission critical milestones on time.
The Houston, Texas Headquarters and Cape Canaveral, Florida payload processing facility are the only locations impacted by the immediate restructuring. Costs and planned cash expenditures associated with the restructuring are estimated at $450,000.
"After an exhaustive review of our business, we have aligned SPACEHAB's infrastructure to enable the Company to serve our customers better than ever and achieve our strategic goals," said SPACEHAB President and CEO Thomas B. Pickens, III.
"Concentrating these core resources allows the Company to both maintain our signature high performance and remain competitive in the interest of our customers, partners, and shareholders."
