PMC-Sierra Trims Guidance, Workforce
In response to the slowdown in customer demand, PMC-Sierra will be reducing its workforce by 230 employees. PMC-Sierra currently employs 1,740 people throughout its worldwide operations. This reduction, including the rationalization of several of the Company's design centers and properties, starts today. As a result, PMC-Sierra is anticipating a one-time charge in the first quarter of 2001 that will be detailed in the Company's first quarter earnings release scheduled for April 19, 2001.
"We are intensifying our focus on key projects for our customers while taking a prudent approach to managing our cost structure," said Bob Bailey, chairman and CEO of PMC-Sierra. "Due to current market conditions, it is necessary that the Company reduce a portion of its operating expenses. However, given our reservoir of technologies, our strong balance sheet, and our continuing momentum with design win successes, we will be aggressively expanding our product portfolio for the metro, core, access and wireless segments of the communications semiconductor market in 2001."
PMC-Sierra will be releasing its results for the first quarter of 2001 on the regularly scheduled date of April 19, 2001 after market close.