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To: keithcray who wrote (737)	6/12/2001 12:50:11 PM
From: 2MAR$	Respond to of 26752

Macromedia Sees $15M-Plus 1Q Charge For Restructuring WASHINGTON (Dow Jones)--Macromedia Inc. (MACR) said it expects to take a first-quarter charge in excess of $15 million for restructuring expenses, according to the company's annual report filed late Monday with the Securities and Exchange Commission. The company said it began executing in April a restructuring and cost-containment plan associated with its acquisition of Allaire Corp., which closed in March, and aligning its cost structure with the weaker business environment. The company said it has terminated about 200 employees, primarily in the sales and marketing and general and administrative functions. The first-quarter charge is for termination costs such as severance benefits, vacating certain facilities and potential asset write-offs, the company said. Macromedia's also said in the filing that it is currently preparing an impairment analysis on its investment in AtomShockwave Corp., a privately held online entertainment company. Macromedia said it evaluated its investments during the fourth quarter for impairment, including its investment in AtomShockwave. As of March 31, the company determined that the carrying value of $31.3 million recorded on its balance sheet wasn't impaired. However, subsequent to this assessment, AtomShockwave announced it be terminating a significant portion of its workforce and closing several offices. Macromedia owns about 30% of AtomShockwave, which was formed in January when Macromedia's Shockwave.com unit bought the parent company of AtomFilms, Atom Corp. In March, Macromedia invested $15 million in the form of convertible promissory notes in AtomShockwave. Macromedia, San Francisco, supplies multimedia authoring tools and products. -By Carrie DeLeon, Dow Jones Newswires; 202-628-7663 (END) DOW JONES NEWS 06-12-01 12:48 PM * end of story *