Two Years To $2 Billion In Cuts
Streamlining supply chain, distribution, and research and development were just some of the areas Xerox said it could leverage to save the new combined company $2 billion, according to its offer.
“Our preliminary analysis shows a clear path to cost synergies of at least $2.0 billion within 24 months: $0.5 billion in cost savings by leveraging our scale, combined supply chain and distribution footprint, and $1.5 billion in cost savings from combining our world class R&D groups and streamlining corporate functions.
Our Board of Directors strongly believes the industry is overdue for consolidation and that those who move first will have a distinct advantage in a secularly declining macro environment. By combining R&D capabilities and financial resources, together we can accelerate the transformation of our businesses and take a leadership role in key growth markets such as: 3D Printing, Digital Packaging and Labels, Graphics, Textile Printing, Workflow Software and IoT Enabled Services.”