“Canadian software developer Corel Corp. , treading water in
an ocean of red ink, must make deeper cost cuts to keep the company
afloat, despite having axed one-fifth of its work force, analysts
say.”
“The cuts that they announced yesterday look to me to get maybe
half of the cost savings that the company has announced they are
going for,” said BlueStone Capital Partners’ Jean W. Orr, one of
the few analysts who follows Corel. “I think there are going to
have to be other cuts made — whether or not they can do that
without cutting more people I’m not sure.”
“Corel said it cannot disclose the savings or severance costs
from Thursday’s layoffs because it is in a quiet period after
filing a prospectus for a recent financing.”