American Capital cuts workforce by 19 per cent in cost saving measures

The cost cutting measures include the closing of two offices, the termination of functions and a reduction of around 110 positions, or 19 per cent of the US and European workforces.

Malon Wilkus, chairman and CEO of American Capital, said, 'We are operating in an unprecedented market environment. While we continue to be one of the leading investors in the risk capital of middle-market companies and continue to produce substantial net operating income, we are not investing at the rates we have in the past and therefore need to size our operations to our current volume of business. Though these changes are difficult, we believe they will result in a stronger and more flexible company, which will efficiently manage our current portfolio and be in a good position to take advantage of numerous market opportunities.'

American Capital has approximately $17bn in capital under management and more than 290 portfolio companies.

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