MutualFundWire.com: Another Fund Firm Cuts Staff

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Monday, January 12, 2009

Another Fund Firm Cuts Staff

Calamos Asset Management cut 47 jobs, representing about 12 percent of its workforce, The Chicago Tribune reports. The publicly traded, Naperville, Illinois-based fund firm announced the headcount reduction Friday, but did not state the exact number of employees affected by the layoffs (see press release below).

Calamos now has around 330 employees. A company spokesperson told The MFWire that the cuts did not affect Calamos' investment team.

"After evaluating the impact of the unprecedented deterioration in the global financial markets, these changes were made to help align the company's cost structure with the current level of assets under management and revenues," said John Calamos, Sr., chairman, CEO and co-CIO, in the news release.

"We have reduced expenses and staff by more than 40 positions across the company," he said. "However, we believe we remain competitive and are well positioned to seek growth opportunities in the marketplace."

As of end-November, Calamos had mutual fund AUM of $17.4 billion, down from $35.2 billion in November 2007. Including SMA assets, its AUM totaled $23.8 billion, down from $46.5 billion.

In the third quarter, Calamos recorded a net loss of $799,000, versus net income of $7.12 million in the year-ago period (see The MFWire, 11/13/08).

Company Press Release

NAPERVILLE, Ill., Jan. 9 /PRNewswire-FirstCall/ -- Calamos Asset Management, Inc. (Nasdaq: CLMS) today announced that it has reduced its staff by approximately 12 percent.

John P. Calamos, Sr., Chairman, Chief Executive Officer and Co-Chief Investment Officer, said, "After evaluating the impact of the unprecedented deterioration in the global financial markets, these changes were made to help align the company's cost structure with the current level of assets under management and revenues."

"We have reduced expenses and staff by more than 40 positions across the company. However, we believe we remain competitive and are well positioned to seek growth opportunities in the marketplace," Mr. Calamos stated.

About Calamos Asset Management

Calamos Asset Management, Inc. (NASDAQ: CLMS) is a diversified investment management firm offering equity, fixed income, convertible and alternative investment strategies, among others. The firm serves institutions and individuals via separately managed accounts and a family of open-end and closed-end funds, offering a risk-managed approach to capital appreciation and income-producing strategies. For more information, visit http://www.calamos.com.