FARO Cuts Work Force by 8%
LAKE MARY, Fla., Aug. 25, 2009 -- Laser tracker maker FARO Technologies Inc. announced Monday it will immediately cut its work force by another 8 percent. During the first quarter of 2009, the company cut about 21 percent of its employees.
"Though the long-term opportunity for FARO remains strong, there is clearly some weakness in the current market. While we regret the impact of this decision on our employees, we believe the reduction in force is prudent and should help us return to profitability as soon as 2010," said Jay Freeland, FARO president & CEO, in a statement.
FARO said the most recent cuts will save it about $4 million a year after it incurs a third-quarter charge of about $600,000 related to severance costs. In total, the 29 percent work force cut is expected to save the company about $17 million a year.
The company didn't get into specifics on the number of positions cut, saying it will provide further details when it reports third quarter financial results, currently scheduled for the beginning of November.
Last month FARO posted a net loss of $2.1 million, or 13 cents a share, for the second quarter, compared to a net profit of $6.4 million, or 38 cents a share, for the same period in 2008.
FARO develops software-based 3-D measurement devices, including laser-based devices, for manufacturing, industrial, building construction and forensic applications.
For more information, visit: www.faro.com