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H&M Group Sees SEK 800 Mln Restructuring Charge In Q4; To Cut Around 1,500 Jobs

Swedish retailer Hennes & Mauritz AB or H&M Group (HNNMY.PK,HMRZF.PK,HEN.L) Wednesday said it sees a restructuring charge of just over 800 million Swedish kronor in the fourth quarter related to its global cost and efficiency programme.

H&M group's global programme to reduce costs and further improve efficiency in the business, which was announced earlier, would result in workforce reductions by around 1,500 positions.

The company said the programme relates to administrative and overhead costs.

The program is estimated to provide overall annual savings of around 2 billion kronor, which are expected to become visible in the second half of 2023.

Helena Helmersson, CEO, said, "The cost and efficiency programme that we have initiated involves reviewing our organisation and we are very mindful of the fact that colleagues will be affected by this. We will support our colleagues in finding the best possible solution for their next step."

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