Tuesday, March 24, 2009

Lionbridge to lose 325 jobs, close some offices

By Mass High Tech staff

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Lionbridge Technologies Inc. reports a global restructuring plan designed to reduce overhead and improve efficiency across its operations. The Waltham-based maker of translation, development and testing services said that it plans to cut about 325 workers, making up eight percent of the company’s work force. Additionally, the company said it would consolidate offices, though it did not specify which locations.

Lionbridge (Nasdaq: LIOX) said it will save an estimated $6 million to $9 million in costs in 2009. Annualized cost savings are estimated at $18 million to $20 million.

In a statement, Lionbridge CEO Rory Cowan said the start to 2009 has been “challenging.” He attributed the company’s cost-cutting capability to its recent investments in technology. The company will persist in its strategic programs, such as cloud-based language platform and global sourcing and search capabilities.

Lionbridge, founded in 1996, expects restructuring expenses of $13 million to $15 million, mostly to be incurred during fiscal year 2009.