SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934
Date of Report (Date of earliest event
reported): September 17, 2012
KIT DIGITAL, INC.
(Exact Name of Registrant as Specified in
|(State or other jurisdiction
||(Commission File Number)
|26 West 17th Street, 2nd Floor
|New York, New York
|(Address of principal executive offices)
Registrant’s telephone number, including
area code: +1 (646) 553-4845
Check the appropriate box below if the Form 8-K filing is intended
to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
||Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)|
||Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)|
||Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))|
||Pre-commencement communications pursuant to Rule 13e-4 (c) under the Exchange Act (17 CFR 240.13e-4(c))|
ON FORM 8-K
Inc. (the “Company”)
Item 2.05 Costs Associated with Exit or Disposal Activities.
The Company announced today the next phase of the restructuring
plan that was first announced in May 2012. This phase will align its operations and streamline general corporate functions. Upon
completion of the reductions announced today, the Company’s restructuring program will have achieved a net reduction in workforce
of approximately 300 employees, or approximately 22% of its total headcount. The majority of the expense reductions will arise
from non-core areas and general and administrative redundancies. The associated savings from employee related expenses is anticipated
to be approximately $40 million on an annualized basis.
The Company's actions pursuant to this restructuring plan will
take place primarily during the third quarter of 2012 and will be completed by the end of calendar year 2012. The Company
currently estimates that it will record a restructuring expense in the third quarter of 2012 of approximately $4.0 million consisting
primarily of one-time termination benefits of which the majority will be paid prior to the end of calendar year 2012.
The forward-looking statements contained herein, including those
relating to our expectations regarding charges, involve risks and uncertainties. Factors that could cause actual results to differ
materially from those forward-looking statements include current economic and other conditions in the global marketplace, competition,
the Company's ability to successfully implement its strategic plan and those described in the Company's Annual Report on Form 10-K
for the year ended December 31, 2011.
Item 9.01 Financial Statements and Exhibits.
The following are furnished as Exhibits to this Current Report
on Form 8-K.
||Description of Exhibit|
||News release issued September 17, 2012 (furnished pursuant to Item 2.05). Any internet address provided in this release is for information purposes only and is not intended to be a hyperlink. Accordingly, no information at any internet address is included herein.|
Pursuant to the requirements
of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned
hereunto duly authorized.
||KIT DIGITAL, INC. |
|Date: September 17, 2012
||/s/ K. Peter Heiland|
||K. Peter Heiland|
||Chief Executive Officer|