Jul 28, 2006 (09:07 AM EDT)
CA Names CFO, Remains Mum On Layoff Rumors
Read the Original Article at InformationWeek
CA named a new CFO and fended off rumors of looming layoffs Friday.
Nancy Cooper is CA's new executive vice president and CFO, according to the Islandia, N.Y., vendor. She starts Aug. 15 and reports directly to CEO John Swainson, CA said.
Cooper takes over for interim CFO Bob Cirabisi, who held CA's financial reins for about three months following the sudden departure of CFO Robert Davis in May. Cirabisi will settle back into his former role of corporate controller, CA said.
Cooper, the former CFO of pharmaceutical market intelligence firm IMS Health, arrives at CA at a time when CA's financial condition is not in the best of health.
In June problems with stock option grants and subscription revenue accounting prompted CA to delay filing its complete fourth quarter and full year fiscal 2006 results for the second time. The vendor has been losing money for several years, and corrections already made to its financial books are set to drag down CA's subscription revenues through approximately 2011, the vendor said.
Reports of pending layoffs in August of between 800 and 1,000 CA employees have surfaced. A CA spokesman said the company could not comment on rumor or speculation, but he did say CA is "always looking for ways to cut costs."
CA's deferred prosecution agreement with federal prosecutors related to the $2.2 billion accounting scandal that former CEO Sanjay Kumar and several others have pled guilty to is scheduled to be completed in September.