TORONTO, Jan 19 (Reuters) - Linamar Corp. said on Monday it would pay $18.2 million to terminate deals with sales agents and create a sales organization of its own.
The Guelph, Ontario-based auto parts maker said the buyout would be accounted as a one-time cost in the fourth quarter, adding that new sales staff will increase costs by $4.4 million a year from this year.
Linamar said the Detroit-based sales agents would have cost it $8.9 million a year in commissions over the next three years.
($1=$1.30 Canadian)