SBM Offshore Announces Layoffs, Relocation of HQ

sbm offshoreSBM Offshore announced today approximately 600 contractor staff and an equal number of permanent staff will be laid off over the next year.

Chief Executive Bruno Chabas commented in an emailed statement:

“Although we regret losing some of our colleagues, we believe these steps are necessary to deliver value to our stakeholders and drive profitable growth over time.”

The company cites the deteriorating market conditions as a factor in the decision.  Annual savings as a result are expected in the range of USD $40 million.

In addition, SBM has also decided to relocate their corporate headquarters from Monaco to Amsterdam, effective Q3 2015.  “The international orientation, presence of many other stakeholders in the Netherlands, the Company’s Euronext listing and the proximity to the industry and Schiphol airport are expected to provide many advantages to SBM Offshore as a global player in the industry. Approximately 100 people are expected to work with the Management Board from new offices in the Amsterdam region.”

Monaco will remain a strategic location for technology, engineering and operations, the company says.