ATG Implements Cost Reduction Plan; Initiatives Include 12% Workforce Reduction.Business/Technology Editors CAMBRIDGE, Mass.--(BUSINESS WIRE)--April 12, 2001 ATG ATG antithymocyte globulin. lymphocyte immune globulin (antithymocyte globulin equine, ATG, ATG equine, LIG) Atgam Pharmacologic class: Immunoglobulin Therapeutic class: Immunosuppressant (Art Technology Group; Nasdaq:ARTG ARTG Australian Register of Therapeutic Goods ), developer of the ATG Dynamo A family of e-commerce and CRM applications from Art Technology Group, Inc., Cambridge, MA (www.atg.com). Part of ATG's core marketing Adaptive Scenario Engine, Dynamo comprises a comprehensive set of Java-based products that enable an organization to deploy a fully-integrated customer (R) e-Business Platform for online customer management and electronic commerce, today announced that it is implementing a multi-faceted cost reduction plan to address the effects of the current economic environment. The initiative includes a reduction of approximately 150 employees, or 12% of ATG's workforce. Additional cost-saving measures will include real estate consolidation and reductions in salaries and consultant contracts. The company will record a charge in the second quarter of 2001 related to severance plans and other expenses associated with the cost reduction plan. "As we announced last week, ATG is working quickly to bring expenses more in line with revenues and speed our return to profitability," stated Jeet Singh, ATG's chief executive officer. "While the decision to reduce our workforce was a difficult one to make, this headcount reduction is a necessary step in achieving these objectives. We plan to provide more detail about the range of our initiatives, including our expectations for cost savings, when we announce our first-quarter financial results on April 26, 2001." "While we are taking aggressive measures to control expenses in this economic climate, it is essential to note that the company remains on very solid footing from a technological, operational and financial perspective," Singh continued. "We have been careful in our selection of expense reductions to maintain these strengths and continue to invest in ATG's future growth to maintain and improve our market position. In this regard, we anticipate further strategic hires in sales and marketing, as well as research and development to capitalize on Cap´i`tal`ize on` v. t. 1. To turn (an opportunity) to one's advantage; to take advantage of (a situation); to profit from; as, to capitalize on an opponent's mistakes s>. ATG's current and long-term market opportunities." Conference Call Reminder In conjunction with its regularly scheduled first-quarter 2001 financial results news release, ATG plans to host its quarterly conference call for investors at 5:00 p.m. ET on Thursday, April 26, 2001. The call will be broadcast live over the Internet. Investors interested in listening to the Webcast should log onto the "Investor Relations Investor relations The process by which the corporation communicates with its investors. " section of ATG's Web site, located at www.atg.com, at least 15 minutes prior to the event's broadcast. About ATG ATG is a leading provider of online customer relationship management and electronic commerce products and services. ATG offers an integrated suite of Java(TM) application server-based products, as well as related application development, integration and support services support services Psychology Non-health care-related ancillary services–eg, transportation, financial aid, support groups, homemaker services, respite services, and other services . The ATG Dynamo(R) e-Business Platform enables Global 2000 enterprises, as well as new businesses using the Internet as their primary business channel, to understand, manage, and build their online customer relationships and to more effectively market, sell, and support their products and services over the Internet. With its network of more than 250 partners, ATG delivers e-business solutions to more than 670 companies worldwide including 3M, Aetna Services, Inc., AT&T, Blockbuster, Bluelight.com, Eastman Kodak, General Motors, Herman Miller Herman Miller may refer to:
Cambridge, Massachusetts is a city in the Greater Boston area of Massachusetts, United States. , with additional locations throughout North America North America, third largest continent (1990 est. pop. 365,000,000), c.9,400,000 sq mi (24,346,000 sq km), the northern of the two continents of the Western Hemisphere. , Europe, Asia, and Australia. The first and third paragraphs of this press release contain forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. for purposes of the safe harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. provisions under The Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. These statements involve factors that may cause ATG's actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by such forward-looking statements, including: the effect of weakening economic conditions or perceived conditions on the level of spending by customers and prospective customers for ATG's software and services; financial and other effects of cost control measures; quarterly fluctuations in ATG's revenues or other operating results; customization and deployment delays or errors associated with ATG's products; the result of longer sales cycles for ATG's products; satisfaction levels of customers regarding the implementation and performance of ATG's products; ATG's need to maintain and enhance business relationships with systems integrators and other parties who may be affected by changes in the economic climate; ATG's abilities to attract and maintain qualified executives and other personnel and to motivate employees; activities by ATG and others related to protection of intellectual property; and release of competitive products and other activities by competitors. Further details on these risks are set forth in ATG's filings with the Securities and Exchange Commission, which are available on a website maintained by the Securities and Exchange Commission at http://www.sec.gov. Dynamo is a registered trademark of ATG. |
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