Caldera cuts projections; CTO resigns

Linux software developer Caldera International on Thursday reduced revenue projections for the second quarter, said two key executives are leaving, and said the company will lay off 15 percent of its work force.

The reductions will affect about 73 employees, bringing Caldera's total work force to around 400. The company said it would close its offices in Chelmsford, Mass., and Erlangen, Germany.

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Caldera said Chief Technology Officer Drew Spencer and Chief Legal Counsel Harrison Colter are both leaving the company, although they will continue on a part-time basis as consultants. Spencer has been with Caldera since 1999, overseeing software development, research and engineering. Colter joined the company last year.

The company said it now expects to report revenue of between $15.1 million and $15.5 million for the quarter ended April 30, down from previous predictions of between $16 million and $18 million. The Orem, Utah-based company cited economic weaknesses for the revision, adding that customers continue to expand their operations but at a much slower pace than in past years.

Losses have been building at Caldera, one of the few publicly traded companies that specializes in Linux software. Caldera posted a loss of $11 million on revenue of $17.9 million for its fiscal first quarter.

In March, Caldera announced a 1-for-4 reverse stock split in an attempt to avoid being delisted from the Nasdaq market.