CARROLLTON, Texas-CellStar Corp. announced it is consolidating its Latin America and North America regions into a new Americas region in an effort to increase growth in the U.S. market and to eliminate nonessential operating costs. The company also centralized the management of its Asia-Pacific region.
CellStar said it expects these steps to result in annualized cost savings of approximately $5 million to $7 million.
As a result of the consolidation, about 120 positions, primarily in CellStar’s Dallas and Miami operations, will be eliminated. Senior Vice President Daniel T. Bogar will lead the new Americas region, which will include operations in the United States, Mexico, Argentina, Chile, Colombia, Peru and Venezuela, said the company.
CellStar also announced it entered a strategic alliance with Arcoa Communications Co. Ltd., one of the largest telecommunications retail store chains in Taiwan, to supply Motorola Inc.-licensed handsets and accessories.
