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News > Companies
Adaptec cuts jobs 15%
June 28, 2001: 9:51 a.m. ET

Data storage firm sets $6M restructuring charge in its fiscal 1Q
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NEW YORK (CNNfn) - Adaptec Inc. said Thursday it plans to cut about 15 percent of its work force and take a $6 million restructuring charge in its fiscal first quarter as the data storage firm battles a sluggish economy.

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The Milpitas, Calif.-based company, which makes hardware and software for data storage, said it plans to eliminate about 325 jobs, cut discretionary spending and restructure, steps it hopes will save it $35 million this year.

"These actions were made necessary by the sluggish economy, which has continued beyond most industry estimates, and has now spread into Europe and Asia," CEO Robert Stephens said.

Stephens said the reductions will not significantly affect the company's new product development efforts.

Adaptec and other data-storage firms have suffered from a U.S. economic slowdown that has forced U.S. corporations to slash technology spending.

Shares of Adaptec (ADPT: Research, Estimates) closed up 9 cents at $9.39 Wednesday. graphic

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Most stock quote data provided by BATS. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer. Morningstar: © 2018 Morningstar, Inc. All Rights Reserved. Factset: FactSet Research Systems Inc. 2018. All rights reserved. Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2018 and/or its affiliates.