San Jose-based Adobe Systems Inc said on Wednesday that it has taken steps "to reduce its headcount by approximately 600 full-time positions globally" - that is, around 8 percent of its workforce. Abode spokeswoman, Jodi Sorensen, said it would be an across-the-board headcount reduction, impacting all geographic regions and company divisions.
While announcing the cut in jobs, the Design and Internet software maker issued preliminary results for its fiscal fourth quarter and a sales outlook for the first quarter that fell short of expectations late Wednesday. The company said it has suffered from "weaker-than-expected demand" for its flagship Creative Suite 4 product, which was released during the fourth quarter.
CS4 is a package of tools for graphical designers, which includes Photoshop photo-editing software, 3-D computer drawing program Illustrator, Dreamweaver for designing websites and Soundbooth for audio-editing. In a conference call in September, Adobe Chief Executive Shantanu Narayen had told investors that CS4 would be Adobe's biggest product introduction ever.
Narayen now said in a statement: "The global economic crisis significantly impacted our revenue during the fourth quarter. We have taken action to reduce our operating costs and fine-tune the focus of our resources on key strategic priorities."
Abode took its revenue outlook for the fiscal fourth-quarter ended November 28 to a range of $912 million to $915 million, from its earlier view of $925 million to $955 million. The company also said it expects fourth-quarter adjusted earnings in a range of 59 cents to 60 cents a share, higher than its previous forecast, as it benefited from two favorable tax items.












