Tellabs Cuts Run Deep(er)
The cuts will be made in mid September, according to sources close to the company. The R&D site in Denmark where the cuts are happening is where Tellabs makes its 6300 series SDH and WDM products.
These 30 layoffs, along with those reported yesterday, brings the total number of job cuts so far to 85.
A Tellabs spokeswoman confirmed the initial 55 job cuts yesterday saying that the move was made to cut costs and improve efficiency.
"Although the move is modest, considering Tellabs headcount is about 3,600, it could provide nearly $3 million in quarterly expense savings," writes Morgan Keegan & Company Inc. analyst Simon Leopold in a note to clients this morning regarding the 55 cuts reported yesterday.
A Tellabs spokeswoman also confirmed the 30 Denmark layoffs when queried by Light Reading today. She says there are not any further layoffs planned, although it is always a possibility.
— Phil Harvey, Managing Editor, and Raymond McConville, Reporter, Light Reading