Novell cuts 1,400 jobs

Novell is cutting 1,400 jobs in a bid to regain profitability.

The lay-offs are expected to cost the company £38m.

It says the job cuts will reduce its worldwide workforce to 6,000.

The US software firm expects the redundancies to generate savings of £140m a year.

Novell has predicted fourth-quarter revenue of £214m.

Chairman and chief executive Jack Messman says: "Novell is becoming a more aggressive company, adopting solution delivery and support capabilities across every aspect of our business.

"The actions we are announcing today mean a better structured company, with improved profitability, that's well equipped to make real progress toward our growth objectives."

The moves come two days after chief executive Mr Messman assumed the additional post of chairman.