* Expects $500,000 in severance, other costs in Q2
* Expects to save additional $3 mln in 2009
April 14 (Reuters) - Telecom equipment maker Soapstone Networks Inc said it is slashing about 40 percent of its workforce to cut expenses.
The company, which said in February it was exploring strategic alternatives, expects severance and related costs of about $500,000 in the second quarter.
Soapstone sees overall incremental savings of about $3.0 million during 2009 as a result of the job cuts, in addition to the $5.0 million in savings it expects from a workforce reduction it announced in February.
On Feb. 12, the company said it was cutting permanent headcount by about 10 percent and its contractor workforce by about 75 percent.
Shares of the company closed at $3.49 Tuesday on the Nasdaq.
(Reporting by Mansi Dutta in Bangalore; Editing by Anne Pallivathuckal) Keywords: SOAPSTONENETWORKS/ (mansi.dutta@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 4135 5800; Reuters Messaging: mansi.dutta.thomsonreuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
* Expects to save additional $3 mln in 2009
April 14 (Reuters) - Telecom equipment maker Soapstone Networks Inc said it is slashing about 40 percent of its workforce to cut expenses.
The company, which said in February it was exploring strategic alternatives, expects severance and related costs of about $500,000 in the second quarter.
Soapstone sees overall incremental savings of about $3.0 million during 2009 as a result of the job cuts, in addition to the $5.0 million in savings it expects from a workforce reduction it announced in February.
On Feb. 12, the company said it was cutting permanent headcount by about 10 percent and its contractor workforce by about 75 percent.
Shares of the company closed at $3.49 Tuesday on the Nasdaq.
(Reporting by Mansi Dutta in Bangalore; Editing by Anne Pallivathuckal) Keywords: SOAPSTONENETWORKS/ (mansi.dutta@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 4135 5800; Reuters Messaging: mansi.dutta.thomsonreuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.