Corel to lay off 8 percent of work force

Business software company Corel Corp. said Wednesday that it is cutting its work force by about 8 percent, or 90 employees, as part of a plan to increase operational efficiency and raise its investment in certain growth areas.

Corel expects that in its fourth quarter it will report a one-time restructuring charge of $2.8 million in relation to the layoffs.

"The actions we are taking today will enable us to expand our sales and marketing activity in emerging markets and enhance our eCommerce offerings just two of the areas where we believe incremental investment will improve both our financial performance and our long-term competitive position in the market," Kris Hagerman, the company's interim chief executive, said.

Corel also anticipates third-quarter results in line with the outlook it gave on July 3, which called for adjusted earnings of 30 cents to 36 cents per share on revenue of $63 million to $65 million.

Analysts polled by Thomson Financial expect an adjusted profit of 34 cents per share on $64 million in revenue.

Corel added that, as it noted in August, it is talking with a third party about the possibility of a sale of the company.