UPDATE: Capgemini CEO: More Restructuring If Market Worsens
12 February 2009 - 9:48PM
Dow Jones News
Computer services company Capgemini (CAP.FR) is ready to carry
out more restructuring measures if the situation in its markets
worsens further, Chief Executive Paul Hermelin said Thursday.
Capgemini has already budgeted for a EUR140 million envelope of
restructuring, giving EUR67 million in savings as of 2009, but has
another layer of actions "ready to be activated in case of further
deterioration," Hermelin said on a conference call.
Chief Financial Officer Nicolas Dufourcq said the second wave of
restructuring would be worth around EUR75 million and "would be
heavily weighted towards people."
The measures would take longer to have an effect than the
previous wave of restructuring and could "generate something like"
EUR25 million in savings in 2009, Dufourcq said.
The company also has further cost-cutting actions it can carry
out in terms of bonuses, salaries and support functions, he
added.
-By Jethro Mullen, Dow Jones Newswires; 33 1 4017 1738;
jethro.mullen@dowjones.com