"This initiative is part of the ongoing transformation of Tundra's business that the new leadership team has undertaken over the last 6 months. We are rebalancing our resources and expenses to enable success of our long-term growth strategy. These actions, while difficult, are essential to Tundra becoming more efficient operationally, for both the short and long term," said Daniel Hoste, President and Chief Executive Officer, Tundra Semiconductor.
A total of 20 positions were impacted by today's announcement and several vacant positions will not be filled. This represents a combined total of approximately 7% of the Company's global workforce. Research and Development and General and Administrative organizations were primarily impacted by this initiative. Restructuring charges of approximately $1.6 million will be recorded in the first quarter of fiscal 2008. Cost savings expected as a result of this activity are approximately $2.0 million in fiscal year 2008. The effect on fiscal 2008 first quarter financial results will be reflected in the guidance which the Company will provide on June 7th in its fiscal 2007 fourth quarter earnings announcement.
Tundra Semiconductor Corp.