Select Software Shares Fall 33% After $3.5-Million Loss

Select Software shares tumbled 33%, or $1.06, to $2.19 after the Irvine company posted a loss for the second quarter and said it will cut costs by about 20% as part of a corporate realignment.

As a result of the cuts, the company said it will take a third-quarter charge of $1.45 million.

Software also said its president, Ed Holt, has resigned.

The company, which provides analysis and design software, said it lost $3.5 million, or 33 cents a share, for the second quarter, compared with a year-earlier net loss of $253,000, or 2 cents a share. Revenue rose 5% to $6.5 million from $6.2 million. For the six months, the company reported a net loss of $6.7 million, or 64 cents a share, contrasted with profit of $276,000, or 3 cents a share, for the first six months of 1997. Revenue increased 11% to $13.6 million from $12.3 million.