Wavve Cuts Jobs, Reorganizes
Cites 'rapidly changing market conditions'

April 6, 2001 -- Sacramento-based colocation provider Wavve Telecommunications today said it would cut its staff by a third and reorganize its operations, saying it had changed its business plan in the face of rapidly changing market conditions.
Wavve cited "the continuing downturn in capital and debt financing markets" as driving the moves, which also include cuts in expenses.
"These steps will ensure that we remain focused in our efforts to develop and expand products and services that will generate the highest revenue stream possible for Wavve,'' said Bob Ingraham, Wavve's president and COO.
"For the time being, all discretionary capital expenditures, such as research and development, will be deferred until Wavve achieves profitability,'' said Lou Kirchner, Wavve's CFO.
Wavve said it has reduced its full-time workforce by more than one-third, and reassigned a majority of its remaining workforce into its Managed Services Solutions division.
The move comes just six weeks after Wavve announced plans to expand through the acquisition of as many as 10 data centers through lease-purchase buyback agreements.
Wavve Telecommunications, Inc. is a provider of colocation, network connectivity, Internet and managed services.