27.09.2008

Oshkosh more upbeat

Oshkosh has announced that it expects earnings for its fourth quarter to be at or above the higher end of its earlier forecasts thanks to the reductions in its workforce and other cutbacks, while strong cash flow has allowed it to reduce its debts beyond its initial forecasts.

Oshkosh now expects its debt at the end of this month will be around $50million lower than it had expected at $2.80-$2.85 billion.

Oshkosh says that it has improved its cost structure by reducing its workforce by 10 percent and by lowering discretionary spending. In addition, the company has reduced working capital by selling excess inventory and rationalising production. The company expects these actions to enable it to remain competitive through fiscal 2009.

Robert Bohn, chairman and chief executive of Oshkosh. Said: "Our ability to generate strong cash flow from earnings and working capital initiatives has driven better than anticipated debt reduction in the fourth quarter, and we expect to exit fiscal year 2008 with debt in the range of $2.80 billion - $2.85 billion."