Item 2.02 Results of Operations and Financial Condition.
On February 14, 2023, Ecolab Inc. (“Ecolab”) announced earnings for the fourth quarter ended December 31, 2022. A copy of the (i) News Release issued by Ecolab in connection with this report under Item 2.02 is furnished and attached as Exhibit (99.1) and (ii) Supplemental Data to be used in connection with the conference call to be held discussing the fourth quarter results is furnished and attached as Exhibit (99.2), each of which is incorporated by reference herein. Ecolab also will publish the attached exhibits on its website located at www.ecolab.com.
Item 2.05 Costs Associated with Exit or Disposal Activities.
On February 14, 2023, Ecolab announced that it has expanded its previously announced Europe cost savings program to also focus on the Company’s Institutional and Healthcare businesses in other regions. In connection with the expanded program, Ecolab now expects to incur pre-tax charges of $195 million ($150 million after tax). Ecolab expects that these restructuring actions will be completed by the end of 2024. Program actions include headcount reductions from terminations, not filling certain open positions and facility closures. The expanded program charges are expected to be primarily cash expenditures related to severance and asset disposals.
Cautionary Statements Regarding Forward Looking Information.
Statements contained in this Current Report on Form 8-K, including statements concerning Ecolab’s restructuring plan, may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on the current expectations of management of the company. There are a number of risks and uncertainties that could cause actual results to differ materially from the forward-looking statements included in this report. In particular, the ultimate results of any restructuring and business improvement actions depend on a number of factors, including the development of final plans, the impact of local regulatory requirements regarding employee terminations, the time necessary to develop and implement the restructuring and other business improvement initiatives and the level of success achieved through such actions in improving competitiveness, efficiency and effectiveness. Additional risks and uncertainties that may affect operating results and business performance are set forth under Item 1A of our most recent Form 10-K, and the company’s other public filings with the Securities and Exchange Commission. Ecolab does not undertake, and expressly disclaims, any duty to update any forward-looking statement whether as a result of new information, future events or changes in expectations, except as required by law.
Item 9.01 Financial Statements and Exhibits.
The following exhibits are furnished pursuant to Item 2.02 of Form 8-K and should not be deemed to be “filed” under the Securities Exchange Act of 1934.
