November 10th, 2009
Adobe cuts 680 jobs
Adobe said Tuesday that it will cut 680 full-time positions by the end of its fiscal year.
The company said it will take a $65 million to $71 million restructuring charge. That charge includes consolidation of leased facilities and severance.
According to Adobe, the restructuring only applies to employees of the company before the acquisition of Omniture.
On November 10, 2009, we announced a workforce reduction to appropriately align our costs in connection with our 2010 operating plan (the “Restructuring Plan”). As a result, we expect to eliminate approximately 680 full-time positions worldwide. We expect to record in the aggregate approximately $65.0 to $71.0 million in pre-tax restructuring charges associated with this Restructuring Plan. Included in these charges are (i) approximately $17.0 to $19.0 million primarily related to the consolidation of leased facilities and (ii) approximately $48.0 to $52.0 million related to employee severance arrangements. We expect to record approximately $18.0 to $20.0 million of these charges in the fourth fiscal quarter ended November 27, 2009. We expect to complete the majority of the activities related to the Restructuring Plan by the end of fiscal 2010. Substantially all of these charges will result in cash expenditures.
Also: The Adobe-Omniture deal: Does it make sense?
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