Supply-chain-management
software major i2 Technologies Inc, whose shares have
dropped 33 per cent in the past six months, said its board
has formed a committee to consider options that may include
sale of the company.
The board
had formed a three-director committee to evaluate possible
mergers, sales, joint ventures or acquisitions. The panel
will be led by Jackson L Wilson Jr and will include directors
Richard L Clemmer and Lloyd G Waterhouse.
The committee
was formed as part of an ongoing review of the company.
The review by J P Morgan Chase Securities of i2''s management,
operations and strategy will end when the panel presents
its recommendations to the board at the end of January.
Michael McGrath
resigned as i2''s chief executive officer on 31 July, after
the Dallas-based company reported that earnings for the
quarter ending June were below analyst estimates, the
second quarter in a row it had missed forecasts. He was
replaced on an interim basis by Pallab Chatterjee.
The company
had started a search earlier in the year for a replacement
for McGrath, who was expected to retire at the end of
2007, when his contract expired.
The board
has identified several candidates for chief executive
officer and will name a permanent replacement for McGrath
after the review is finished, company founder and chairman
Sanjiv Sidhu said.
The company
reported on Thursday 1 November that net income for the
third quarter rose to $5.32 million or 17 cents a share,
from $4.55 million or 15 cents a share a year earlier.
Revenue, at $66.5 million, was lower than the company
had previously forecast.
The
company has boosted its forecast for the year. It now
says it expects 2007 net income to fall to between 55
cents and 65 cents a share, and sales to drop to between
$263.5 million and $266.5 million. Earlier, it expected
net income to fall to between 43 cents and 58 cents a
share, and revenue to decrease to between $260 million
to $265 million.
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