3Com to Cut 500 Jobs
SANTA CLARA, Calif. (AP) _ Network equipment maker 3Com Corp. on Tuesday cut about 500 jobs, or 8.5 percent of its work force, as part of its ongoing efforts to return to profitability.
The latest reduction will bring the Santa Clara-based company’s headcount to about 5,400 employees, down from 5,900 at the end of the last quarter and about 12,000 a year ago.
3Com expects to return to profitability by the end of its fiscal fourth quarter in May.
In December, the company posted better-than-expected results. For the three months ended Nov. 30, it lost $104 million, or 30 cents a share, compared with a loss of $142 million, or 41 cents a share, last year.
Excluding special items, 3Com lost $47 million, or 14 cents a share, compared with a loss of $51 million, or 15 cents a share, a year ago. Analysts were expecting a fourth-quarter loss of 22 cents a share, according to a survey by Thomson Financial/First Call.
The company did not revise its earnings estimates Tuesday.
Shares of 3Com rose 8 cents to $6.19 in trading on the Nasdaq Stock Exchange.
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