Adaptec has issued a profits warning for the quarter, announcing that its revenues will fall short of projections by 15 per cent.
This is due to a $10 million restructuring charge after steps to cut operating costs by $7 million per quarter.
As a result, the company has adjusted its earnings-per-share forecast for the fourth quarter from 10 to 15 cents per share.
President and CEO of Adaptec, Bob Stephens, said: "We are taking the steps we feel are necessary to scale our costs to match the current business environment."
According to Stephens, restructuring-plan details will be released before the quarter's end, The company's aim is to support future growth opportunities, focus on investments that grow top-line revenues and restore operating margins.