Santa Ana’s Ingram Micro Inc. said Monday it plans to cut 550 jobs in North America, half in Orange County.
The move is expected to save the technology products distributor about $25 million a year by 2006.
Ingram plans to outsource the work, likely abroad. The company didn’t offer specifics but said it plans to shift transaction and support jobs “to a leading global business process outsource provider” by the end of the year.
The company is expected to make a decision on which company it will contract with by the end of the month.
In addition to OC, Ingram plans to cut jobs from its Canada and Buffalo, N.Y., operations. It also said it expects to restructure and consolidate other jobs in North America.
Ingram has about 13,600 workers worldwide, including 1,194 in OC. It expects the restructuring to cost about $18 million after taxes and be spread out through the year.
The restructuring comes days after Chief Executive Kent Foster said he is stepping down as of June 1.
Gregory Spierkel, co-president, is set to succeed him while Keven Murai, Ingram’s other co-president, is set to become chief operating officer.
A year ago, Foster surprised many of Ingram’s customers and analysts when he fired longtime chief operating officer and presumed heir apparent Michael Grainger.
Murai and Spierkel were appointed the same day as Grainger’s departure was announced.
