EPiC Initiates Cost Reductions Due to Current Market Condition
In response to current market conditions, EPiC has initiated a cost reduction initiative that includes a reduction in its workforce, a salary freeze for 2009 and a one year suspension on the 401k match. The Company intends to make other cost reductions, including the curtailment of certain discretionary operating expenses, in response to current economic conditions. The workforce reduction amounts to approximately 6% of the overall workforce costs.
"Our employees are the core of our organization. We are saddened by the departure of some of our team members but recognize the current economic times mandate that we manage cash effectively," said Mike Kinney, chief financial officer of EPiC. "We will continue to monitor the economic environment and make adjustments as needed to succeed during this downturn, maintain our strategic focus and strengthen our competitive position."
EPiC estimates that it will incur a one-time charge of approximately $60,000 that is largely related to severance costs associated with the workforce reduction.