Boeing Co announced on Wednesday it will close two facilities in Seal Beach as part of a larger overall effort to cut $1.6 billion by the end of 2015.
The Pentagon's second-largest supplier, Boeing announced plans to consolidate several business units, close a handful of Southern California facilities and reduce executive level staffing by 30 percent from 2010 highs.
“In southern California, in Seal Beach, we have several buildings there. We’ll vacate two and try to sell them,” company spokesman Todd Blecher told the Chicago Sun-Times.
Blecher predicted that a 10 percent reduction in facility space would be an alternative measure to closing down plants.
Boeing officials told Reuters they could not predict the number of layoffs that will result from the restructuring because the company would attempt to transfer the affect employees to units outside the shrinking defense units.
Nationwide, Boeing employees nearly 170,000 people. The Seal Beach facility includes Boeing’s Boeing Phantom Works unit.