Business
Restructuring of the business
Restructuring of the business.
About this update from Seeing Machines Limited
[{"type":"text","content":"\n RNS Number : 4919N Seeing Machines Limited 18 February 2009 \n \n\n18 February 2009\nSeeing Machines Limited\n('Seeing Machines' or the 'Company')\n\nRESTRUCTURING OF THE BUSINESS\n\nSeeing Machines Limited (AIM: SEE), a leading developer of advanced computer based imaging software systems, announces that in light of continuing uncertainty regarding the level and timing of revenues due largely to the impact of the global economic downturn, it has restructured its business to focus on its cash generative operations and to conserve cash reserves. \n\nOn 28 January 2009 the Company announced that sales growth in its driver monitoring product (DSS) had been slower than anticipated. At the time of that announcement the Company had realistic expectations of concluding at least one large DSS contract during this financial year. However, due to delays there is now growing uncertainty of this occurring and consequently revenues for the remainder of the financial year remain difficult to predict. \n\nIn light of the effect of the global economic downturn on Seeing Machines' business, the Board has taken the decision to restructure the Company's operations to re-focus resources on the cash generative areas of its business and to preserve the strength of its balance sheet by conserving cash thus providing a strong foundation for future growth. The restructuring includes:\n\n\n\na reduction in overall staff head-count of 16 made up of fulltime and parttime employees and contractors;\n\n\npruning expenditure across other areas of the business;\n\n\nstrengthening of regional sales forces by relocating the majority of the Company's Australian based sales resources to those markets that provide the most fertile opportunities for revenue and growth;\n\n\nfocusing sales efforts on those products with the greatest capacity to generate revenues, principally the DSS aftermarket and faceLAB businesses; and\n\n\nconcentrating further technology and product development efforts substantially on the DSS aftermarket business and to support the DSS customer base particularly in North Amer...