About 400 R.J. Reynolds Employees Take Buyout

Approximately 400 R.J. Reynolds employees have accepted buyouts and will be leaving the tobacco company in 2010, according to a news release from the company.

Parent company Reynolds American Inc. said it will take charge of approximately $47 million in the fourth quarter of 2009 in connection with the buyouts.

Earlier this month, R.J. Reynolds Tobacco Co., maker of Camel cigarettes offered buyouts to about 1,800 workers at its North Carolina factories to cut costs. At the time, the company said it did not have a specific number of jobs it hoped to cut.

Most of the 400 employees who accepted the buyouts will leave in 2010. A few will have release dates in early 2011, the company said.

R.J. Reynolds said it expects to achieve cost savings of approximately $17 million in 2010 and $30 million in 2011 as a result of the reduction.

Employees leaving the company will receive two weeks of pay for every year of service, up to a maximum of 78 weeks.