Fundtech Centralizes Development And Services Under New COO
Payments and cash management solutions provider Fundtech has consolidated its development, professional services and customer services activities into three global groups under the leadership of Michael Sgroe, newly-appointed Chief Operating Officer. The shift, which also includes the appointment of Joseph P. Mazzetti as Executive Vice President of Global Sales and Marketing, is designed to streamline operations and better serve a global base of banking customers. Related staff reductions will lower ongoing expenses by $500,000 per quarter beginning in the first quarter of 2003. The Company also reaffirmed its earlier guidance for Q4, noting that it expects to be approximately breakeven on an EBITDA basis, excluding one time charges, which now include a previously announced $1 million restructuring charge related to real estate lease obligations, a $900,000 settlement of a previously disclosed dispute, plus an additional $900,000 of employee-related expenses in conjunction with the new organizational changes.