Lego Announces Worldwide Job Reductions

ENFIELD, CT — Lego's Danish-based brass kicked off the post-Labor Day U.S. work week by announcing an 8 percent work force reduction on the heels of a "disappointing" first-half 2017 earnings report.

That translates to 1,400 jobs eliminated worldwide by the end of 2017 for the toy giant. according to the report.

Lego's global work force totals about 18,200 people. The company has its North America headquarters in Enfield.

Logo Group is a privately held company. It said Tuesday morning that its revenue dropped 5 percent.

Here are the report highlights:

• Revenue was down 5 percent to DKK 14.9 billion compared with DKK 15.7 billion a year ago
• Operating profit down 6 percent to DKK 4.4 billion compared with DKK 4.7 year-to-date
• Net profit down 3 percent at DKK 3.4 billion compared with DKK 3.5 billion a year ago
• Cash flow from operating activities was DKK 4.6 billion compared with DKK 3.9 billion year-to-date

A Danish krone was worth 0.16 of a U.S. Dollar on Tuesday morning.

"We are disappointed by the decline in revenue in our established markets, and we have taken steps to address this. “We are working closely with our partners and we are confident that we have the long-term potential of reaching more children in our well-established markets in Europe and the United States. We also see strong growth opportunities in growing markets such as China.”

Patch File Photo