CA local job cuts uncertain

08.04.2010

CA will provide professional out-placement services in staff severance packages.

The North American company had not supplied information on which departments will be affected, nor whether more cuts are planned.

The cuts will reduce the company's headcount by about 7.7 per cent.

CA will incur a pre-tax restructuring charge of about $US50 million in severance and other expenses, while its fiscal 2010 earnings are expected to drop to the low end of a previously released range of $US1.46 to $US1.57 per share.

The cost-cutting moves follow several acquisitions by CA in recent months, including a $US350 million deal to buy IT performance monitoring vendor Nimsoft, which was announced in March.