ELMIRA, N.Y., Feb. 3 /PRNewswire-FirstCall/ -- Hardinge Inc. (NASDAQ: HDNG), a leading international provider of advanced metal-cutting solutions, today announced that it would implement a series of actions designed to bring the Company's planned production levels and cost structure more in line with current global demand levels. The following actions have been initiated in January and February: -- Effective February 9, 2009, the Company's Elmira, NY production facility will initiate a four-day, 32 hour work week. -- Production in our Asian facilities will be shut down for one week in February, following a similar action in January. -- The base pay of all U.S. employees who are not subject to the reduced workweek, including Corporate officers, will be reduced by 5%. -- Overtime has been discontinued at most of our facilities. -- A hiring freeze has been initiated. -- Worldwide, an additional 36 positions have been eliminated, affecting overhead and production staffing. "We all recognize that these are painful actions which impact the lives of our employees and their families," said Richard L. Simons, President and Chief Executive Officer. "However, the current severe recessionary conditions are negatively impacting our customers, and in turn worldwide demand for our products. The responsible course of action is to significantly reduce our production levels and cost structure in order to generate positive cash flow from operations and to remain competitive for the long run. Our strong balance sheet still allows us to effectively compete and pursue strategic initiatives that are critical to our long term success. We believe that these steps will accelerate the Company's return to profitability once the economic environment improves." "We will continue to monitor economic conditions and their effects on our business. We are hopeful that the economic stimulus programs being enacted by governments in our major markets will improve the business outlook. However, we will take appropriate actions to further reduce our costs as we deem necessary, while working to minimize the impacts on our customers and our employees," Mr. Simons continued. Hardinge is a global designer, manufacturer and distributor of machine tools, specializing in high-precision, computer controlled, metal-cutting machines. The Company's products are distributed to most of the industrialized markets around the world and in 2007 approximately 66% of sales were from outside of North America. Hardinge has a very diverse international customer base and serves a wide variety of end-user markets. Along with metalworking manufacturers which make parts for a variety of industries, our customers include a wide range of end users in the aerospace, agricultural, transportation, basic consumer goods, communications and electronics, construction, defense, energy, pharmaceutical and medical equipment, and recreation industries, among others. The Company has manufacturing operations in the United States, Switzerland, Taiwan and China. Hardinge's common stock trades on NASDAQ under the symbol, "HDNG." For more information, please visit http://www.hardinge.com/. This news release contains forward-looking statements (within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended). Such statements are based on management's current expectations that involve risks and uncertainties. Any statements that are not statements of historical fact or that are about future events may be deemed to be forward-looking statements. For example, words such as "may," "will," "should," "estimates," "predicts," "potential," "continue," "strategy," "believes," "anticipates," "plans," "expects," "intends," and similar expressions are intended to identify forward-looking statements. The company's actual results or outcomes and the timing of certain events may differ significantly from those discussed in any forward-looking statements. The company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events, or otherwise. Contact: Edward Gaio Vice President and CFO (607) 378-4207 DATASOURCE: Hardinge Inc. CONTACT: Edward Gaio, Vice President and CFO, +1-607-378-4207 Web Site: http://www.hardinge.com/

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