Autodesk trims executive pay
In response to an ongoing revenue crunch, the drafting and graphics software maker cancels pay raises and trims the salaries of top executives.
An Autodesk representative confirmed CEO Carol Bartz has cut her salary by 20 percent and trimmed the paychecks of senior executives--vice presidents and above--by 10 percent, effective for the remaining two quarters of the year. In addition, no pay raises will be granted this year.
In a memo sent to employees Friday, a week after workers returned from a company-wide shutdown for the Fourth of July week, Bartz said the measures were necessary in light of current economic conditions.
"Our confidence in Autodesk's future is undiminished, yet this year's economic realities require us to make all our decisions with extreme prudence and caution," she wrote. "We're pleased we're not losing market share to our competitors, but our overall business is significantly affected by our customers' spending cutbacks."
San Rafael, Calif.-based Autodesk in May reported first-quarter earnings and revenue significantly below year-ago results.
Analysts polled by First Call expect Autodesk to report earnings per share of 10 cents for its current second quarter, compared with 27 cents a year ago. For the full fiscal year, per-share earnings are pegged at 81 cents, from $1.06 last year.