Tellabs Inc., a global company that makes equipment for the telecommunications industry, said Tuesday it plans to cut 330 workers, or about 10 percent of its staff, including some from its Naperville headquarters.
Workers were told on Monday, a day before the company announced its second-quarter earnings that showed a net loss of $20 million, or 6 cents per share, compared with net earnings of $64 million, or 17 cents per basic share, in the second quarter last year.
While 330 workers are targeted, the company plans to restructure and hire 100 workers, which may include affected workers, depending on locations and skills. Restructuring is expected to continue through June 2012. Some affected employees will leave later this week, said Tellabs spokesman George Stenitzer.
Tellabs also reported second-quarter revenue of $334 million, down 21 percent from $423 million in the year-ago quarter.
"Going forward, we will cut $50 million from expenses and costs over the next year, better aligning our expenses with revenue expectations. The restructuring unfortunately will affect about 330 or 10 percent of our employees," Rob Pullen, Tellabs president and chief executive officer, said in a statement. "We are investing aggressively in research and development, devoting one-fourth of our revenue to growth products, as we focus on next-generation platforms to help customers succeed in the mobile Internet."