Symantec to Cut Headcount by 1,000

by Christopher Freeburn | January 24, 2013 11:26 am

jobless unemployment 630 300x227 Symantec to Cut Headcount by 1,000[1]Antivirus software maker Symantec (NASDAQ:SYMC[2]) announced on Wednesday that it plans to trim its workforce[3], even as it launches a $1 billion share repurchase program and pays out its first-ever dividend.

Unnamed insiders told Bloomberg that the company will lay off a minimum of 1,000 workers, roughly 5% of its total payroll, but may also add some jobs in its research and development department.

The company also predicted fourth-quarter earnings between 37 cents and 38 cents a share on revenue between $1.7 billion and $1.74 billion. Wall Street had expected a profit of 40 cents a share on revenue of $1.73 billion.

Symantec will return half of its free cash flow to shareholders with a quarterly dividend, which starts in June, and with the new buyback program, which comes in addition to $283 million remaining from a previous plan.

Company officials said job cuts were aimed at reducing its middle-management positions to boost efficiency but declined to provide an estimate of the number of jobs that will be lost.

Shares of Symantec rose fractionally in Thursday morning trading.

Endnotes:
  1. [Image]: http://investorplace.com/wp-content/uploads/2012/06/jobless-unemployment-630.jpg
  2. SYMC: http://studio-5.financialcontent.com/investplace/quote?Symbol=SYMC
  3. plans to trim its workforce: http://www.businessweek.com/news/2013-01-23/symantec-s-new-ceo-bennett-is-said-to-plan-1-000-job-cuts

Source URL: http://investorplace.com/2013/01/symantec-to-cut-headcount-by-1000/
Short URL: http://invstplc.com/1nDalO5