Kennedy Bids JDSU Adieu
Amid an earnings call with gloomy overtones, JDSU (Nasdaq: JDSU; Toronto: JDU) CEO Kevin Kennedy announced today that he's resigning from the company.
Kennedy has gotten a job somewhere else and expects to leave JDSU in December. He made the announcement in the middle of today's earnings call with analysts.
His departure comes as JDSU prepares yet another round of cost-cutting, this time in response to the overall economic gloom. JDSU noted today that revenues in the second quarter, which ends in December, could fall compared with the $386.7 million reported for the first quarter. (See JDSU's Not Down and JDSU Reports Q1.)
The company will be cutting 400 employees and contractors as a result, Kennedy said.
Other cuts will include a reduction to 12 sites from 19, "reducing manufacturing sites by several," Kennedy said. No major product changes are planned, but JDSU will be cutting some of its lower-speed datacom products, which carry lower margins than highfalutin 8- and 10-Gbit/s models.
Light Reading will update this story as events warrant.
— Craig Matsumoto, West Coast Editor, Light Reading