KEY TRONIC CORP (KTCC): restructuring charge — Key Tronic to cease China manufacturing; $4.8-5.8M non-cash charges; Mexico severance $2.5-3.5M

KEY TRONIC CORP

Ends China manufacturing operations; refocuses on sourcing/procurement; manufacturing moved to Vietnam and other facilities.
Expects $1.1M severance, $0.2M accrued comp, plus $4.8-5.8M non-cash charges for asset transfer/write-offs.
China plan expected to save ~$1.2M per quarter after completion by Q4 FY2026.
Mexico facility restructuring adds $2.5-3.5M severance in Q2 FY2026, expected to save ~$2.1M quarterly.
No material revenue impact expected from China plan; capacity in Vietnam supports relocated demand.

Key facts

Extracted from this filing and checked against the source text.

Restructurings & Charges SEC 8-K Item 2.05/2.06 confidence 0.9

KEY TRONIC CORP announced a restructuring with charges of approximately $4.8 million to $5.8 million affecting China-based operations (approximately $1.1 million in severance-related expenses).

Type: restructuring
Charge: approximately $4.8 million to $5.8 million
Affected area: China-based operations
Headcount: approximately $1.1 million in severance-related expenses

Exact text from the filing

with respect to the Plan related to the transfer, disposal, and write-off of certain existing inventory, fixed assets, deferred taxes, and other assets totaling approximately $4.8 million to $5.8 million. In accordance with paragraph (d) of Item 2.05, the Company will provide further details by amendment to this Current Report on Form 8-K at such time it is able

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KEY TRONIC CORP filing history →

Source: SEC EDGAR

accession 0000719733-25-000112

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