Misys Healthcare cuts 22 jobs

Realigning sales force and management, company will drop headquarters posts

RALEIGH -- Misys Healthcare Systems will cut 22 positions at its Raleigh headquarters as part of a management and sales-force realignment.

The medical software company, which is struggling to emerge from several tough quarters, doesn't plan any more cuts, Executive Vice President R.L. "Vern" Davenport said. He described the restructuring as a final pruning as the company prepares for expansion.

"We found some duplicate resources," he said. "We identified some positions as not being necessary to accomplish our strategy."

Misys, the U.S. arm of Misys PLC, based in England, will have about 800 employees in Raleigh after the cuts. That's about 40 more than it had a year ago, Davenport said.

Misys recruited Davenport from Eastman Kodak in February, a month after former CEO Tom Skelton resigned.

In March, Davenport laid out a months-long turnaround plan in which the company would realign sales from individual units into a single division. The realignment, he said, shifts the company's focus from the large hospital information technology market to the faster-growing business in doctors' practices and outpatient clinics.

The company also has said it plans to sell two businesses for about $400 million. With the proceeds, it will repay debt and assemble a cushion to either expand payroll or fund acquisitions after the realignment is completed in September, Davenport said.

"Misys Healthcare is committed to the Raleigh area, ... and we fully expect a net gain in the number of employees in North Carolina over the course of our fiscal year," he said.