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To: Tom Hoff who wrote (3748)	6/19/1999 2:45:00 PM
From: Don Devlin	Respond to of 8393

Iomega Cuts 450 Jobs June 18, 1999 Filed at 6:09 p.m. ED By The Associated Press ROY, Utah (AP) -- Iomega Corp. is cutting 450 jobs, or 10 percent of its workforce, as it struggles to recover from sluggish sales of its computer storage products and the loss of top managers. Iomega said Friday it will lose 5 cents to 10 cents a share in the current financial quarter, excluding a restructuring charge, compared to analysts' expectations of zero profits. A year earlier, the company lost 13 cents a share. The company's stock plunged nearly 16 percent in early trading on the New York Stock Exchange. It closed down 56 1/4 cents a share, or by almost 13 percent, at $3.81 1/4. The company plans to take a second-quarter charge of $45 million to pay for restructuring its operations, which includes shutting plants in San Jose and San Diego, Calif. The cost-cutting is expected to save $40 million a year. Iomega tied its disappointing results to weak sales of its Jaz drive and disks, a delay in shipping its Clik! PC Card drive and parts shortages resulting in slow sales of Zip drives. Iomega disclosed Wednesday that it was losing three top executives and two other key company officials.