Acxiom Corp. is planning to lay off 250 employees — 4% of its workforce — in an effort to save at least $14 million by the fourth quarter.
This comes as the Little Rock, AR-based company said it expects to report revenue of $310 million for the quarter ended June 30, reportedly short of expectations.
According to news reports, about 100 of the job cuts will be in Arkansas, with another 100 spread throughout the U.S. and other countries.
The database marketing software firm said it would close or sell some operations and reduce costs among non-revenue generating areas.
“All together, we expect that our expense reduction plan will reduce total expenses by approximately $14 million to $16 million a quarter when the effects are fully realized by the fourth quarter of the fiscal year,” said company leader Charles D. Morgan in statement.
Last month, ValueAct Capital, Acxiom ‘s largest shareholder, sent Morgan a letter threatening a potential hostile stock acquisition. The letter questioned Acxiom’s leadership’s financial acumen, a characterization Morgan rejected in a memo to company employees (Direct Newsline, June 6).
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