Informix announced a larger-than-expected loss in the second quarter that ended June 29 of $120.5 million on revenues of $164.7 million. A month later, its former chief executive, Phil White, said he would resign and remain as chairman. But White's role as chairman was a short-lived; he left that post as well after only a week.
Jean-Yves Dexmier, 45, has been named to the CFO post and will replace Alan Henricks, who left Informix in May after having served as CFO for only five months.
Most recently a business-development and strategy consultant to Silicon Valley companies, Dexmier also has held the CFO post at companies such as Octel Communications, a voice messaging systems provider, and Thomson Consumer Electronics.
"Jean-Yves brings a great deal of relevant experience to Informix. He has successfully completed a major turnaround situation previously and understands Informix's needs in-depth," Bob Finocchio, Informix chairman and chief executive officer, said in a statement. "Jean-Yves is a tremendous addition to the management team and, in addition to his expertise, brings energy and enthusiasm to the task of putting our financial issues behind us quickly and focusing on Informix's future."
Dexmier will oversee all of Informix's financial management, including treasury, investor relations, controllership, audit, operations, MIS, and real estate.
Informix said earlier this month that it likely would double the amount of its restated 1996 results, as well as add 1995 to its restatement. Informix also said Nasdaq was considering delisting the company, but that it was working to resolve the issue and hopes it will addressed by November, said Robert Manetta, a spokesman.
Informix said it would restate its results for 1996 and 1995 by more than $200 million to account for irregularities and errors in the way certain types of revenues were recognized from the reseller channel. That news sent its stock tumbling by as much as 30 percent in one day.
"I want a consistent revenue recognition policy. It will follow all the rules," Dexmier said in an interview today. "I have no sense of humor with gray methods."
The company's stock also took a beating this past spring, when it said it would post an unexpected first-quarter loss of $140.1 million as revenues fell 34 percent, to $133.7 million.
Informix says it will report its earnings next month, once it completes its restatement for the past two-year period.
Informix stock, which traded in the mid- to high teens last March, has since fallen, closing today at 6-13/16, down 3/32 of a point.
"It's clear that it's a very difficult situation, and I will have to work quickly on several issues," Dexmier said.
First, he plans to address the restatement issues, which he believes can be done in November. Then, he will work toward implementing policies, controls, and procedures to manage Informix's finances.
The third issue is ensuring that the company remains listed on Nasdaq. Lastly, Dexmier said he wants to strengthen the company's balance sheet by eventually matching revenues to expenses.
"It's common for CFOs to slash and cut to match revenues, but if you don't do it right, then you cut the flesh and bones of the business," Dexmier said.