Charlotte, North Carolina-based systems and network integration company CompuCom Systems Inc said yesterday that it would take a restructuring charge of between $20m and $25m in the fourth quarter, which will result in a net loss for the three months. The majority of the charge comes from the shut down of all CompuCom’s 45 branch offices as the company attempts to shift its business model to a virtual office where employees work from home. We are retaining local presence in every market we are in today, but we are shedding the bricks and mortar, said Ed Anderson, CompuCom’s president and CEO. He added that the company would also cut around 10% of its workforce (of around 5,000 staff) as part of the restructuring program. Anderson said the firm was making the changes as a result of a slow down in its product sales, which he said had been under pressure for several quarters. He added: we are targeting a reduction in our product cost structure of approximately 1.25% to 1.5% of sales. By reducing costs, Anderson said he planned to boost the company’s profits that would eventually enable him to lower product prices. For the second quarter, ended June 30, CompuCom posted a net income of $4.3m, down 46% on the previous year’s $8m. á
