Friday, Technology company FARO Technologies, Inc. (FARO), announced a reduction in its workforce, impacting about 7% of its employees globally, predominantly in manufacturing and administrative-related positions. FARO said the move is driven by the ongoing economic weakness and a continued lack of near-term visibility for its business.
The restructuring is expected to provide the Lake Mary, Florida - based company savings of about $4.5 million on an annualized basis. FARO noted that it expects to incur severance costs of $0.5 million in the first quarter of fiscal year 2009.
Jay Freeland, FARO's President and Chief Executive Officer said, "Today's announcement is the result of taking a regrettable but necessary step towards protecting the continued long-term health of the business."
FARO is currently trading at $11.99, down $0.40 or 3.23%, on the Nasdaq.
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