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EXHIBIT 99.1
Press Contact:
John M. Johmann
LivePerson, Inc.
212-918-2653
[email protected]
LIVEPERSON ANNOUNCES RESTRUCTURING INITIATIVE, INCLUDING
CONSOLIDATION OF WEST COAST OFFICES
Company Streamlines Operations To Accelerate Move Toward Profitability
New York, NY - January 11, 2001 - Following a review of its business operations
in connection with its October 2000 acquisition of HumanClick Ltd., LivePerson,
Inc. (NASDAQ: LPSN), a leading Application Service Provider (ASP) of technology
facilitating real-time sales and customer service for companies doing business
on the Internet, today announced a restructuring initiative to streamline its
operations, including the consolidation of its two San Francisco Bay area
offices.
The restructuring will result in a 35% reduction of the Company's workforce. The
Company anticipates cost savings related to these reductions of approximately $5
million in 2001. LivePerson will record a charge for severance and other related
expenses due to the restructuring.
"After careful evaluation of our resources since acquiring HumanClick, we can
now streamline our operations to create a strengthened organization," said
Robert LoCascio, CEO. "This initiative is an important step in our efforts to
preserve our working capital and achieve profitability," LoCascio continued.
As a result of the restructuring, approximately 60 positions at all levels of
the organization within the U.S. have been eliminated. LivePerson is providing
career counseling services along with appropriate severance arrangements.
About LivePerson
LivePerson (www.liveperson.com) is a leading Application Service Provider (ASP)
of technology facilitating real-time sales and customer service for companies
doing business on the Internet. The LivePerson service enables online businesses
to communicate with Internet users in real-time, thereby enhancing the online
experience. With its full Customer Interaction Suite, consisting of Chat, E-Mail
and Knowledge (a self-service FAQ product), LivePerson offers clients the
opportunity to increase sales, lower customer service costs and increase
responsiveness to customer needs. Statements in this press release regarding
LivePerson, Inc. that are not historical facts are forward-looking statements
and are subject to risks and uncertainties that could cause such statements to
differ materially from actual future events or results. Any such forward-looking
statements are made pursuant to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995. The following factors, among others,
could cause LivePerson's actual results to differ materially from those
described in a forward-looking statement: limited history of providing the
LivePerson service; limited historical annual revenue and history of losses;
unproven business model; dependence on the success of the LivePerson service;
potential fluctuations in quarterly and annual results; risks related to
managing expanding operations; integration of acquisitions, including the recent
acquisition of HumanClick Ltd. and other potential acquisitions; dependence on
key employees; competition both for qualified personnel and in the market for
real-time sales and customer service technology; building awareness of the
LivePerson brand name; technology systems beyond LivePerson's control and
technology-related defects that could disrupt the LivePerson service; dependence
on the growth of the Internet as a medium for commerce and the viability of the
infrastructure of the Internet; responding to rapid technological change; and
possible unavailability of financing as and if needed. This list is intended to
identify only certain of the principal factors that could cause actual results
to differ. Readers are referred to the reports and documents filed from time to
time by LivePerson with the Securities and Exchange Commission for a discussion
of these and other important risk factors.
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