The company fired 10% of its workforce.
The defense industry is slowly beginning to feel the effects of the global economic crisis, and companies are cutting their workforces. Yehud-based Magal Security Systems Ltd. (Nasdaq: MAGS; TASE: MAGS) recently completed the laying of 35 employees, 10% of its workforce. The layoffs were made after a $20 million order from Latin America was cancelled two months ago. The company announced the order in September 2008.
Magal's share rose 4.1% on Nasdaq on Friday to $4.09, giving a market cap of $42 million. The current share price is less than half of its 52-week high or $9.30. The share rose 1% on the TASE today to NIS 17.61.
Published by Globes [online], Israel business news - www.globes-online.com - on April 26, 2009
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