Lattice cuts 14% of workforce
The programmable logic company expects the restructuring to result in a quarterly reduction in operating expenses of approximately $4.5 million, beginning in Q4.
By Ann Steffora Mutschler, Senior Editor -- EDN, September 17, 2008
With an aim of better aligning operating expenses with near-term revenue expectations and more efficiently implement its product strategy, Hillsboro, Ore-based programmable logic company Lattice Semiconductor Corp said Tuesday that it has initiated a restructuring plan that calls for headcount to be reduced by approximately 125 employees, or approximately 14% of the company’s workforce.
Lattice expects the restructuring to result in a quarterly reduction in operating expenses of approximately $4.5 million, beginning in Q4.
As a result of the plan, Lattice estimates it will record a restructuring charge of severance and related costs in the range of approximately $3.3 to $3.8 million in Q3 and approximately $400,000 in Q4.
The restructuring plan will be mostly completed in Q4, the company said.
“Lattice is committed to delivering improved operating results and our restructuring is a key first element in our achieving that objective. We have also taken steps to reorganize our business to ensure that we can more effectively develop and timely deliver programmable logic solutions to meet our customers’ evolving demands,” commented Bruno Guilmart, Lattice’s CEO, in a statement.
