DENVER – (TSX:IMP) Intermap Technologies reported today that it has completed the organizational restructuring efforts that began in 2010 with an additional 30% reduction in headcount in the Company’s North American and European offices. The additional restructuring and headcount reduction follow Intermap’s appointment of Todd Oseth as president and CEO of Intermap in December 2010, and supports the Company’s overall effort to reduce operating expenses and manage cash burn. On an annualized basis, the net impact on total expenses, after severance related costs, will be a reduction of approximately $4.1 million of personnel related expenses. Severance costs of approximately $1.0 million will be paid out on a payroll-by-payroll basis over an extended period of time throughout 2011.
“The further restructuring of the Company’s employee base was a necessary step to move the Company to future profitability,” said Todd Oseth, Intermap’s president and CEO. “From this position of lowered expense levels and as revenues increase during 2011, our operating objective is to reach positive EBITDA and cash flow as rapidly as possible. Today we are well positioned to deliver on numerous customer opportunities in both mapping services and the delivery of a wide array of 3D geospatial content enabled through cloud-based web services.”
Total full time equivalent headcount of the Company at the culmination of these restructuring efforts will be approximately 140 people worldwide. The combined restructuring efforts of the Company since the beginning of 2010 have led to overall personnel reductions of approximately 60%, and an annualized savings in personnel related expenses (excluding severance related costs) of approximately $10.1 million.
About Intermap Technologies
Intermap (TSX: IMP.TO) is a preeminent digital mapping and geospatial solutions provider that has set the industry standard for creating uniform high-resolution 3D digital models of the earth’s surface. The Company has proactively remapped entire countries and built uniform national databases, called NEXTMap®, consisting of affordably priced elevation data and geometric images of unprecedented accuracy. Demand for NEXTMap data and the Company’s contract mapping services is growing as commercial applications emerge within the GIS, federal & civil government, national mapping, defense and intelligence, automotive, insurance risk assessment, wireless telecommunications, and cloud-based web services markets.
Headquartered in Denver, Colorado, Intermap has offices in Calgary, Jakarta, Munich, Prague, and Washington D.C. For more information, visit www.intermap.com.
For more information, please contact:
Canada – Financial
Cory Pala, Investor Relations
E.vestor Communications Inc.
(416) 657-2400
cpala@evestor.com
United States – Financial
Budd Zuckerman, Investor Relations
Genesis Select Corporation
(303) 415-0200
bzuckerman@genesisselect.com