Adobe to cut 9 percent of its workforce
By
siliconindia | Wednesday, 11 November 2009, 11:34 IST

Bangalore: Adobe Systems will lay off 680 staff, or nine percent of its workforce, in its latest move to cut costs. The job cuts will be made worldwide and are designed to bring Adobe's costs in line with its 2010 budget and "the realities of the business environment," the company stated.
Adobe also reduced the workforce at Omniture, which it has just acquired, by nine percent at the close of that acquisition, a spokeswoman of the company said. And, the messages about the layoffs started appearing on Twitter earlier Tuesday, reports PC World. The company also announced its previous round of layoffs last December, when it said it would cut 600 jobs worldwide. It said that the recession had been causing slow sales of its Creative Suite 4 software, which it launched last October.
The company's business has continued to lag this year, even as its stock price rose along with the broader market. In September, the company posted third-quarter profits of $136 million, down from $191.6 million in the third quarter of 2008. Also, the revenue fell to $697.5 million from $887.3 million a year earlier.
However, according to the company, this latest restructuring will result in pre-tax charges of $65 million to $71 million, including about $50 million for severance payments and $18 million to consolidate leased facilities.