Restructuring knocks Netcom

Netcom has lost four senior managers, including its MD and sales director, as it was revealed that the UK operation was hit by a $1.7 million restructuring charge.

Its parent company reported a net loss of $9.2 million, including the restructuring charge. An extra $300,000 charge will be levied against the UK arm of the internet service provider (ISP) at the end of the fiscal quarter.

In the past two months, MD David Clarke, sales director David Furniss, product marketing manager Roy Lee and sales manager Nigel Pitcher have all left the ISP. Clarke will become MD of Virgin Net and Furniss has joined Demon Internet as sales and marketing director.

One channel source claimed Netcom had lost over 10 per cent of its worldwide salesforce.

Netcom president Eric Spivey, who is acting as MD, said: ?It?s not our policy to disclose headcount figures. There have been some significant personnel changes, but it?s in line with other companies in what is still a very volatile industry.?