If they produce 100MM units per year their labor input cost, assuming a $14MM annual labor cost, would be somewhere around .11 - .13 cents per unit. Could be less since I'm probably including some SG&A. If they only produce 30MM units per year that cost would rise to .47 cents per unit.
Next question would be material input cost which I leave to someone else to figure. Then add facility overhead such as utilities and mortgage payments and you can arrive at an estimated cost.
That labor cost reduction is a big boost to their cash flow and eventual profitability if the PFS contracts are still alive and kicking.
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