Prepress

Day to focus on core business

Thursday 20. November 2008 - Proposes to divest from services subsidiary in UK

Day Software (SWX: DAYN, OTCQX: DYIHY), a leading provider of global content management software and content infrastructure software today announced that as a part of a more focused strategy on its core software business – it proposes to divest from a separate business unit – Marketingnet Ltd which is a UK company.
 
“Marketingnet Ltd, a company focused on providing agency style consulting services, was acquired back in 2000. The agency market has undergone a major consolidation over the last couple of years with resulting thin margins – which has made it very difficult for Marketingnet to compete at a profitable level” said Erik Hansen and continued “Apart from this Day as a software solution provider in the ECM sector is today collaborating with most of the larger agencies, with whom Marketingnet is actually competing. Therefore owning such a company created a conflict of interest.”
 
Day’s core operations in the UK carried on through Day Software Ltd is not impacted.
 “In order to fully benefit from the very positive market and analyst reaction that our revised marketing strategy and our brand new CQ5 product is experiencing – including a growth in our customer base – we must focus on our core competency as a leading software provider! However the current reorganisation as well as the turbulent global markets are likely to have an impact on Day’s results in 2008, Erik Hansen said and explained “Despite our very solid financial position, we will place an even stronger focus on cost control and increased productivity while executing our strategy of continued market expansion”.