ADC Reorganizes

Management restructuring and streamlining actions include elimination of 100 to 150 jobs

October 23, 2001

2 Min Read

MINNEAPOLIS -- ADC (Nasdaq:ADCT) today announced a new organizational structure that includes an immediate restructuring of its senior executive leadership team and broader executive management realignments and reductions to be completed within the next 30 days. The new organizational structure is being put in place to better align ADC to its current market position, to further solidify its focus on improved agility and to strengthen the development of tailored, bundled solutions to support its customers' needs. "Our communications service provider customers worldwide are placing a renewed emphasis on more intimate partnering with suppliers that are highly responsive and capable of adapting and delivering tailored solutions to meet their distinct needs," said Rick Roscitt, Chairman and CEO of ADC. "This restructuring complements our overall transformation to the new ADC, which is well underway. ADC is transforming itself top to bottom to be a stronger, more agile and trusted partner for our customers, ensuring their success in delivering broadband communications. Our new management structure will provide us the leadership platform to effectively shape and lead our organization to meet this goal, both now and in the future."As part of the new organizational structure, ADC will eliminate the position of Chief Operating Officer (COO). In conjunction with these actions, Lynn Davis, ADC's current COO, will retire from ADC effective November 1. Roscitt will assume the role as President of ADC, in addition to his responsibilities as Chairman and CEO. Bob Switz, ADC's Chief Financial Officer and Senior Vice President, will be promoted to Executive Vice President. Switz will assume expanded responsibilities for ADC's corporate functions and will continue to play a key role in streamlining and cost containment efforts. In addition, ADC will move to streamline and de-layer its reporting structures. As a result, ADC will eliminate 100 - 150 of its current managerial positions, resulting in an estimated annual reduction to ADC's cost structure of approximately $15 - 20 million. These actions will be substantially implemented by mid-November.ADC Telecommunications Inc.

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