BIRMINGHAM, Ala. -- Amsouth Bancorp. said it expected to take a one-time charge of about $11 million in its third quarter for its enhanced retirement-benefit plan.
The company said that because of a reduction in credit-quality costs, including a substantial loan recovery, it anticipated no impact on the company's estimated third-quarter earnings.
Amsouth said the early-retirement plan comes on top of a planned reorganization that would eliminate jobs at the company.
"There will be a reduction in the number of certain jobs as a result of improved efficiencies and consolidations," the company said.
Amsouth said that as many as two-thirds of the estimated 750 positions within its existing company that may be eliminated over the next year can be resolved through normal attribution and careful management of human resources.
The company said that when fully implemented, the annualized cost savings is expected to exceed $20 million. Amsouth now employs abouth 6,000 people system wide.
The briefs were compiled from staff and wire reports.