YuMe,Inc. (NYSE:YUME) Files An 8-K Costs Associated with Exit or Disposal ActivitiesItem 2.05
Costs Associated with Exit or Disposal Activities.
On October 2, 2017, YuMe, Inc. (the “Company”) adopted a plan to restructure and streamline certain of its operations to further reduce the Company’s operating expensesand streamline and focus its European operations on its programmatic business. The Company anticipates that the restructuring plan will focus on its operations in the United Kingdom, will be implemented before the end of the first quarter of 2018 and is currently expected to result in fourth quarter 2017 cost savings between approximately $0.4 million and $0.6 million. The main elements of the Company’s restructuring plan include a workforce reduction and real estate consolidation focused in the United Kingdom.
As part of the restructuring plan, the Company expects to reduce its workforce by approximately 3%by the end of 2017. The changes to the workforce will be governed by local legal requirements, as appropriate. In the fourth quarter of 2017, the Company currently expects the workforce reduction to result in one-time severance costs of approximately $0.2 million and all other actions under the plan, including the real estate consolidation, to result in costs between approximately $0.1 million and $0.3 million.
This Item 2.05 contains forward-looking statements, including those relating to the expected costs and savings that may result from the planned restructuring. These forward-looking statements involve risks and uncertainties. Factors that could cause actual results to be different from those anticipated or contribute to such differences include the incurrence of unanticipated costs as the Company implements its restructuring plan, the failure to recognize the anticipated costs savings in the expected period, or at all, adverse consequences to the Company’s business as a result of these restructuring activities, including an adverse impact on the Company’s sales efforts, customer relationships and relations with employees that remain with the Company. These and other risk factors are discussed under “Risk Factors” in our Quarterly Report on Form 10-Q for the quarter endedJune 30, 2017that has been filed with theU.S. Securities and Exchange Commission(the “SEC”) and can be found at www.sec.gov, and in our future filings and reports with theSEC. The forward-looking statements in this Current Report on Form 8-K are based on information available to the Company as of the date hereof, and the Company assumes no obligation to update any forward-looking statements, except as required by law.
About YuMe,Inc. (NYSE:YUME)
YuMe, Inc. (YuMe) is an independent provider of multi-screen video advertising technology, connecting brand advertisers, digital media property owners and consumers of video content across a range of Internet-connected devices. The Company operating segments include Domestic and International. The Company offers advertising customers end-to-end marketing solutions by combining data-driven technologies with deep insight into audience behavior. The Company also offers demand-side platform (DSP), called YuMe for Advertisers, to find relevant audiences and deliver targeted advertising, and a supply-side platform (SSP), called YuMe for Publishers (YFP 5.0), which helps aggregate audiences, define audience characteristics and offer monetization opportunities for digital media property owners. Its technologies serve the specific needs of brand advertisers and enable them to find and target brand-receptive audiences across a range of Internet connected devices and digital media properties.