Telecom equipment company DragonWave Inc. cuts 38 jobs in Israel to save costs

OTTAWA - Mobile network equipment supplier DragonWave Inc. said Monday that it's cutting 38 jobs in its Israeli operations and expects to save US$1.1 million in operating expenses each quarter.

"DragonWave will continue to support R&D, customer support, finance, and operations functions in Israel," the Ottawa company said in a news release.

"DragonWave expects to save US$1.1 million in quarterly operating expenses as a result of this staff reduction."

The cuts include both full-time and contract staff in Israel.

DragonWave (TSX:DWI) said it anticipates restructuring charges of about US$300,000 in the fourth fiscal quarter as a result of the job cuts and a one-time cash usage of about US$600,000.

DragonWave supplies high-capacity packet microwave systems that transmit broadband voice, video and data for mobile networks.