Notable Reorgs of Late
October 14, 2002
* Franklin Templeton forms a new retirement division that will integrate the firm's independent strategic alliances and defined contribution services efforts.
* Putnam Investments cuts 32 jobs, or less than 1% of the company's workforce. The firm had cut 256 jobs in April of 2001. Swooning stocks were cited as the cause.
* Stilwell Financial merges into its largest subsidiary, Janus. Janus takes control of Berger Financial, another Stilwell subsidiary. Janus' long bid to control more of its operations is thought to be key reason for deal. Eleven-year Janus veteran, Mark Whiston, takes charge of newly named Janus Capital Management. He replaces Janus founder Tom Bailey, who resigned during the summer.
* Fidelity cuts more than 1,600 jobs, or 5% of its workforce. Portfolio managers and analysts are spared.
* Pimco Funds says it will merge its Global Innovation Fund into its Innovation product.
* BlackRock announces plans to acquire Cyllenius Capital Management, an all-cap growth hedge fund manager.
* Evergreen Investments, a unit of Wachovia Corp., says it will buy money manager J.L. Kaplan Associates, which oversees $3 billion in public pension and institutional assets.
* Nicholas-Applegate Capital Management announces plans to lay off 15% of its staff and merge its Global Technology fund into its Global Select Fund.
* U.S. Bancorp Asset Management hires Dale Kurtz as a key accounts manager to build strategic alliances to distribute products through third-party channels.
* Dundee Wealth Management, owner of the Dynamic group of funds, cuts 30 Canadian jobs after completing its acquisition of StrategicNova.
* Orbitex Management announces plans to sell its assets to Saratoga Capital Management and take a 50% interest in that company to offer a wider range of products at lower expenses.
Source: MFMN, corporate statements, published reports.