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Open Market, Inc. (Nasdaq: OMKT) closed Tuesday at 1 3/8, up 9/32, after the e-business software maker announced an alliance with IBM (NYSE: IBM).
Burlington, Massachusetts-based Open Market said the agreement with IBM Global Financing will allow it to provide customers with the option to finance hardware, software, maintenance and training.
IBM Global Financing has an approach that "is tailored to meet our customers' particular needs, helping them make the IT investments they require to remain competitive," said Joe Alwan, senior vice president of marketing at Open Market.
The agreement builds on a relationship Open Market has with IBM Global Services, which provides consulting and other services for Open Market's e-business software.
Open Market shares have fallen from a 52-week high of 65 1/2, amid a drop in demand for e-business services. In October, the company announced a restructuring that included 150 job cuts, as it seeks to focus on higher-margin services.
Also in October, the company reported a net loss of US$12.4 million, or 27 cents per share, for the third quarter, compared with a loss of $2.8 million, or 6 cents, in the year-earlier quarter. Revenue edged up to $22.3 million from $20.6 million.
Fourth-quarter 2000 results will include a $6 million to $7 million restructuring charge to cover cost cuts aimed at reducing expenses by $3 million to $4 million per quarter. The company expects its restructuring plan to boost performance in 2001.
Open Market's roster of customers includes
Lycos.com, AOL.com, the Wall Street Journal, Ingram Micro and Siemens.
