Dive Summary:

• Waste Management announced quarterly earnings this morning.  For the quarter, WM posted a $208 million profit (45 cents per share).  Consensus analysts estimates were for 52 cents a share.  The earnings are down 12% from last year's $237 million profit
• The company also announced a major reorganization of its operations that includes consolidating operations and eliminating 700 staff positions.  The company currently has more than 44,000 employees
• David P. Steiner, President and Chief Executive Officer of Waste Management, stated, "..the restructuring is expected to reduce our cost structure by about 100 basis points in 2013. This is a good step toward our longer term goal to reduce costs by 200 to 400 basis points."
   

From the press release:

Waste Management, Inc. today announced a reorganization of its operations, designed to flatten the management structure and remove approximately 100 basis points of costs. The reorganization is designed to sharpen the focus on the Company's three major initiatives: yield management, improving efficiency in operations, and better meeting customers' needs. The principal organizational changes that will take place are:

-- Removal of the management layer consisting of four geographic Groups (Eastern, Midwest, Southern and Western);

-- Consolidation and reduction of the number of Areas managing the core collection, disposal and recycling businesses from 22 to 17;

-- Reduction of corporate support staff in order to better align their support with the needs of the operating units, while reducing costs; and

-- Elimination of approximately 700 employee positions.

The Company further announced new appointments of key officers:

-- James E. Trevathan, Jr., previously Executive Vice President - Growth, Innovation and Field Support, has been appointed Executive Vice President and Chief Operating Officer.

-- Jeff M. Harris and John J. Morris have each been appointed to the role of Senior Vice President, Field Operations. Mr. Harris was most recently Senior Vice President - Midwest Group, and Mr. Morris was most recently Chief Strategy Officer and prior to that he was Area Vice President for one of the Company's largest markets. In these roles, Messrs. Harris and Morris will oversee the 17 operating Areas.