Faro To Cut 8 Percent Of Work Force

LAKE MARY, Fla. (AP) — Faro Technologies Inc., which makes portable electronic measurement systems, said Monday it is cutting 8 percent of its work force. That's on top of layoffs that claimed 21 percent of its staff earlier this year.

The company didn't specify the number of employees affected by the latest cuts. Its Web site says it employs more than 850 people worldwide, which implies that about 68 employees might be affected.

Faro said the new cuts are expected to save about $4.1 million a year. They will result in a charge of about $600,000 in the third quarter for severance costs.

In total, this year's layoffs are expected to save about $17 million a year, Faro said.

"Though the long-term opportunity for Faro remains strong, there is clearly some weakness in the current market," Faro CEO Jay Freeland said in a statement. "While we regret the impact of this decision on our employees, we believe the reduction in force is prudent and should help us return to profitability as soon as 2010."

Faro said it would give more details when it reports its third-quarter financial results in November.

Shares closed earlier down 10 cents at $17.37.