i2 Technologies to cull 15% of staff
Dallas-based supply chain software vendor i2 Technologies Inc. said Wednesday it plans to lay off up to 15 percent of its approximately 2,200 global employees. In conjunction with the redundancy’s, i2 has also set up additional programs to reduce operating expenses in most organizations and regions.
i2 hopes the plan will reduce operating expenses to below $70 million, down from $85 million in the fourth quarter of 2004. As part of the resizing plan, the company expects to incur a restructuring charge in the first quarter of 2005.
“When I joined i2 at the end of February, I was given a mandate by the board of directors to resize and refocus i2, while at the same time establishing a strong foundation for future growth. We need to regain the respect and confidence of our shareholders, and this resizing is a major part of our commitment to making that happen,” said Michael McGrath, i2’s chief executive officer.
The company said it will discuss additional specific financial and resizing-related questions during its first quarter 2005 earnings announcement in late April.
