Quantum Corporation (NYSE:QTM) Files An 8-K Costs Associated with Exit or Disposal ActivitiesItem 8.01 Costs Associated with Exit or Disposal Activities
On February 6, 2018, Quantum Corporation (the “Company”) communicated to its employees workforce reductions and related actions that, combined with other recent actions, eliminate approximately 200 positions. These reductions are part of the Company’s previously announced transformation work to rationalize the Company’s cost structure. These actions are expected to be completed by September 30, 2018, with the majority occurring prior to the fiscal year ending March 31, 2018. The Company’s preliminary estimate of the charges associated with this restructuring initiative is approximately $12 million, consisting of approximately $9 million relating to one-time termination severance and benefits and $3 million related to facilities closures. Substantially all of these charges will result in future cash expenditures.
Item 8.01 Other Events
On February 8, 2018, the Company issued a press release: i) reporting the postponement of the release of the Company's fiscal third quarter 2018 results and its earnings conference call; ii) providing an update on its ongoing business transformation and cost savings initiative; and iii) announcing that the Company and its senior lenders have signed a term sheet to provide additional financial flexibility under its credit facility. The press release is filed as Exhibit 99.1 to this Current Report on Form 8-K and incorporated by reference into this Item 8.01.
Item 8.01. Financial Statements and Exhibits
(d) Exhibits
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Exhibit |
Description |
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99.1 |
Press Release dated February 8, 2018
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QUANTUM CORP /DE/ ExhibitEX-99.1 2 a991pressrelease-earningsp.htm EXHIBIT 99.1 Exhibit Exhibit 99.1 News ReleaseContact:Brad CohenPublic RelationsQuantum Corp.+1 (408) 944-4044brad.cohen@quantum.comBrinlea Johnson or Allise FurlaniInvestor RelationsThe Blueshirt Group+1 (212) 331-8424 or +1 (212) 331-8433brinlea@blueshirtgroup.com or allise@blueshirtgroup.comFor Release:Feb. 8,…To view the full exhibit click here
About Quantum Corporation (NYSE:QTM)
Quantum Corporation focuses on scale-out storage, archive and data protection, providing solutions for capturing, sharing, managing and preserving digital assets over the entire data lifecycle. The Company’s end-to-end tiered storage solutions enable users to maximize the value of their data by making it accessible whenever and wherever needed, retaining it indefinitely and reducing total cost and complexity. It works with a network of distributors, value-added resellers (VARs), direct marketing resellers (DMRs), original equipment manufacturers (OEMs) and other suppliers to meet customers’ evolving needs. Its scale-out storage portfolio includes StorNext software, appliances and full systems called StorNext Pro Solutions, as well as Xcellis workflow storage, QXS disk storage, Lattus extended online storage and Q-Cloud Archive and Vault services. Its StorNext offerings enable customers to manage large unstructured data sets in an information workflow.