Published: Oct 23, 2012 5:47 PM EDT
Updated: Oct 24, 2012 6:31 AM EDT

MIDLAND, Mich. (AP) - The Dow Chemical Co. says it will eliminate about 2,400 jobs and close roughly 20 manufacturing facilities as part of a restructuring plan aimed at coping with slowing economic growth in Europe and elsewhere.

The manufacturing giant said Tuesday that the job cuts amount to 5 percent of the company's workforce worldwide.

Dow expects the strategy will result in roughly $500 million in annual cost savings by the end of 2014.

The company also plans to slash capital spending and investments. It expects that will save an additional $500 million.

All told, Dow anticipates it will save $2.5 billion, including other cost-cutting measures.

Dow shares slipped 20 cents in aftermarket trading to $28.35.