July 21st, 2009 by Reed Allmand 
According to the Dallas Morning News, Irving based, Kimberly Clark, Inc., announced that it would be cutting 1,600 non-production jobs. The jobs represent about 3% of their total workforce. The article states:
“These actions, while difficult, are necessary to help us emerge from this demanding economic environment as a stronger company,” said Tom Falk, chairman and chief executive of Kimberly-Clark, which makes Kleenex, Scott tissue and Huggies diapers.
“Through these changes we will be a more effective organization, with faster decision-making helping to drive efficiency throughout all aspects of our operations,” he said. “In addition, by increasing our cash generation, we will be in a better position to take advantage of future growth and innovation opportunities.”
The reductions will not be limited to one area. There are no plans at this time to eliminate any manufacturing facilities. Even though severance costs are expected to run around $150 million, projected savings are estimated at $60 million.
As Kimberly Clark, Inc. makes plans to tighten its financial positioning, another company based in the metroplex announced plans to move forward. Last week, Six Flags Inc. announced that it was filing for bankruptcy. This week they are announcing an extended partnership with Chrysler Group LLC for one year. According to an article in the Fort Worth Business Press, the partnership is mutually beneficial, noting:
“As proven last season, Six Flags provides the ideal out-of-home solution for marketers,” said David McKillips, Six Flags senior vice president of corporate alliances, in a statement. “Our ability to develop and deliver a full-circle marketing program offers Chrysler a unique platform for in-park brand promotion, unfettered access to millions of consumers, and a direct association with the worldwide leader in thrills.”
Bankruptcy may not be the right option for every company or consumer. Kimberly Clark is looking to cut jobs instead of using bankruptcy as a debt management tool. Many people look at bankruptcy and debt management as the beginning of the end and a culmination of a financial failure. However, the announcement by Six Flags and Chrysler demonstrate that there is life during and after bankruptcy. Bankruptcy is a mechanism for regaining financial stability, especially when you have been hit with an unexpected event like a job loss. Severance packages are helpful, but only last so long in an economy that is suffering through more job losses. A bankruptcy attorney that specializes in consumer bankruptcy and debt management can help you work through your debt crisis and decide if bankruptcy is the right option for you.
About Reed Allmand
Allmand's vision is rooted in his own financially precarious childhood in Abilene "My father always had difficulty holding a job and supporting our family, so after my parents divorced when I was 12, my sister and I got jobs to help make ends meet," he recalls. "I remember what it felt like as a child to worry that our car would be repossessed or home foreclosed on."
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