BEACHWOOD, Ohio, April 3, 2017 /PRNewswire/ -- DDR Corp.
(NYSE: DDR) today announced the streamlining of its organizational
structure in an effort to gain efficiencies, provide appropriate
staffing for the Company's current and future operations,
facilitate decision-making and lower operating costs. The changes
are aimed at further centralizing key operational decision-making
and will result in the elimination of 65 existing positions
including nine officer level roles. The changes are expected to
generate a stabilized annual reduction to recurring General and
Administrative expenses of approximately $6
million, excluding a one-time charge to earnings of
approximately $7.2 million associated
with the transition, of which approximately $2 million will be recognized in the first
quarter of 2017 and the balance in the second quarter of
2017. The Company expects that the vast majority of its
employees will remain based in the Beachwood, Ohio headquarters location.
In connection with the announced reorganization, DDR also has
appointed Conor Fennerty to the role
of Senior Vice President, Capital Markets reporting to Matthew Ostrower, Chief Financial Officer. Mr.
Fennerty will have responsibility for capital raising activities
and management of the Company's planning and analysis
functions. Mr. Fennerty most recently served as Vice
President, Senior Analyst at BlackRock, Inc., a $5.1 trillion global funds manager.
"The organizational changes we announced today reflect our
commitment to optimizing our operating structure based on the
Company's current and future portfolio needs and improving our
leverage profile. We are grateful for the leadership and
execution provided by all our current and former employees during
the past several years and believe our streamlined organization and
structure will facilitate a more agile and efficient operating
platform for the future," said David
Lukes, CEO.
About DDR Corp.
DDR is an owner and manager of 319 value-oriented shopping
centers representing 106 million square feet in 35 states
and Puerto Rico. The Company owns a high-quality portfolio of
open-air shopping centers in major metropolitan areas that provide
a highly compelling shopping experience and merchandise mix for
retail partners and consumers. The Company actively manages its
assets with a focus on creating long-term shareholder value.
DDR is a self-administered and self-managed REIT operating as
a fully integrated real estate company, and is publicly traded on
the New York Stock Exchange under the ticker symbol DDR. Additional
information about the Company is available at www.ddr.com.
Safe Harbor
DDR Corp. considers portions of the information in this press
release to be forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933 and Section 21E of the
Securities Exchange Act of 1934, both as amended, with respect to
the Company's expectation for future periods. Although the Company
believes that the expectations reflected in such forward-looking
statements are based upon reasonable assumptions, it can give no
assurance that its expectations will be achieved. For this purpose,
any statements contained herein that are not historical fact may be
deemed to be forward-looking statements. There are a number
of important factors that could cause our results to differ
materially from those indicated by such forward-looking statements,
including, among other factors, local conditions such as supply of
space or a reduction in demand for real estate in the area;
competition from other available space; dependence on rental income
from real property; the loss of, significant downsizing of or
bankruptcy of a major tenant; redevelopment and construction
activities may not achieve a desired return on investment; our
ability to buy or sell assets on commercially reasonable terms; our
ability to complete acquisitions or dispositions of assets under
contract; our ability to secure equity or debt financing on
commercially acceptable terms or at all; our ability to enter into
definitive agreements with regard to our financing and joint
venture arrangements or our failure to satisfy conditions to the
completion of these arrangements; the success of our deleveraging
strategy and any impact or results from the Company's portfolio
transition or any change in strategy. For additional factors that
could cause the results of the Company to differ materially from
those indicated in the forward-looking statements, please refer to
the Company's Form 10-K for the year ended December 31, 2016.
The Company undertakes no obligation to publicly revise these
forward-looking statements to reflect events or circumstances that
arise after the date hereof.
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SOURCE DDR Corp.