Sybase Inc is taking drastic measures to try and stem the continuing flow of red ink, saying it’ll eliminate around 10% of its 6,100-strong workforce after warning that based on its preliminary results, it expects to report a $20m pre-tax loss for the second quarter, on sales of between $245m to $250m. According to First Call, analysts had expected the company to earn a profit of $0.08 per share. Sybase lost $6.9m on revenue of $243.7m in the first quarter of this year and lost $9.2m on sales of $240m in its second fiscal quarter of 1995. The executive reorganization Sybase announced back in April (CI No 2,893) doesn’t appear to have shaken off the ghosts of System 10 because still not enough companies are buying its System 11 products. Sybase blamed lack of sales of its database software for the anticipated loss. The company reports its results on July 11. The depths of Sybase’s discomfit may be such that no names started to circulate as potential acquirers even though last summer when its stock was depressed speculation was rife. Sybase shares closed down $1.25 at $18.25 on the day.
