Green Dot to exit operational activities in China by the end of 2025

In a regulatory filing, the company stated, “On September 2, 2025, Green Dot (GDOT) announced a plan to exit the company’s operational activities in China by the end of 2025 as a means of reducing complexity and promoting long-term structural improvements for its business. This action will impact up to approximately 240 employees, representing approximately 22% of the company’s global workforce. The company also anticipates closing certain facilities in connection with the exit plan. The company expects this exit plan to result in an estimated annual total reduction in spending of $6 million to $7 million, primarily through lower operating expenses and reductions in capitalized internal-use software costs. These actions are expected to be completed in 2025. The company estimates that it will incur total costs in connection with its exit plan of approximately $22 million to $24 million, of which approximately $18 million is expected to be for severance and termination benefits, $3 million to $5 million is expected to be for contract termination and other associated costs, and approximately $1 million related to accelerated depreciation and impairment charges and other write-downs on certain fixed assets in China. Costs incurred that are expected to result in future cash expenditures are expected to be approximately $20 million to $22 million.”