cut. Alvarion said it will be streamlining the company’s
operations and implementing certain cost reduction initiatives intended to help
achieve profitability.
The company is moving to improve execution by better
responding to customer requirements through improved go-to-market
effectiveness, shorter decision cycles, and by enhancing products to address
market needs.
Alvarion will reduce expenses including a global wage
reduction for all employees, along with adjustments to headcount.
Alvarion did not disclose the number of people who will be
affected due to the restructuring.
We believe that the new initiatives will enable the company
to move towards stability, while we continue to invest in its growth engines,
and develop new product innovations. We believe that the new organizational
structure will be managed effectively and profitably to serve the needs of our
customers,” said Hezi Lapid, president and CEO of Alvarion.
Alvarion revenue declines 28.4% in Q1 FY12
Alvarion has posted revenues of $33.3 million for the first
quarter of 2012, down 28.4 percent from $46.5 million in the first quarter of
2011.
The company posted net loss of $6.9 million in the first
quarter of 2012, as compared to a net loss of $12.2 million in the fourth quarter
of 2011. Net loss includes charges of approximately $9.3 million related to the
Wavion acquisition and integration plan.
Net loss in the first quarter of 2011 was $14.5 million
which included restructuring and other charges of approximately $7.1 million
related mainly to employee termination expenses and vacating office space.
