Announcement No. 11 -2009
10 December 2009
Netop Solutions adapts organisation, aiming for profitability in 2010
Aiming to become profitable in 2010 under the difficult market conditions which
management expects will persist into next year, we have found it necessary to
adapt Netop Solutions' cost structure and organisation.
Netop Solutions plans to implement a number of cost-cutting measures involving
both the product portfolio and geographical locations. The measures are
expected to cut costs by 20% relative to the current level. Implications of the
new cost structure will be a staff reduction of about 20% and closure of the
China office.
The effects of the changes are expected to feed through during the first
quarter of 2010.
With the Medianet partnership agreement terminating at 31 December, management
has resolved to abandon the current development of the Live Communicator
product and to focus the company's resources on more profitable parts of the
product portfolio. Accordingly, Netop Solutions will not, at the present time,
continue the in-house development and sale of the Live Communicator product as
otherwise announced in the Q3 2009 interim report. Netop Solutions will
continue the work on the Live Guide product, which we expect to become the core
of our future communication solutions.
The above changes are not expected to influence our full-year guidance for 2009
as provided in Announcement No. 10 of 17 November 2009.
Contact
Kurt Bager, CEO Claus Finderup Grove, CFO
Tel: +45 45 90 25 25 Tel: +45 45 90 25 25
E-mail:kgb@netop.com Email: cfg@netop.com
About Netop Solutions A/S
Netop develops and sells software solutions enabling swift, stable and secure
transfer of video, screen images, sound and data over the Internet. The company
has three core business areas: Administration, Education and Communication.
Netop's unique and cost-saving Administration solutions makes work easier for
IT professionals through Remote Control and IT Asset Management. Netop's
market-leading Education solutions for classroom management and corporate
e-learning help students and teachers achieve optimum results through virtual
teaching. Netop's Communication solutions, including unified communications,
allow customers, business partners and colleagues to meet easily and safely in
virtual space through video conferences, chat, audio and file sharing over the
Internet. Netop has 152 employees and subsidiaries in the USA, the UK, China,
Romania and Switzerland. The company sells its solutions to public and private
sector customers in more than 80 countries. Netop Solutions A/S is listed on
Nasdaq OMX Copenhagen. Netop generated revenue of DKK 92.1m in 2008. For more
information, go to www.netop.com.
