Oxford Networks reports $2.8 million loss in 2012, but sees improvement
Oxford Networks, a Lewiston-based telecommunications company, lost $2.8 million in 2012, but is attributing the decline from a profitable 2011 to the difficulties involved in transitioning from a traditional telephone company into a full-service technology services provider.
Craig Gunderson, Oxford Networks’ CEO, told the Bangor Daily News the loss, as well as an auditor’s report noting that the company’s liabilities exceeded its current assets by $30.2 million at the end of 2012, are “not currently reflective of the financial health of the company.”
He told the BDN the company’s 2012 performance reflects several one-time expenses, including the write-off of a prior multimillion-dollar investment in Resilient Tier V, the Brunswick-based data security startup Oxford Networks acquired outright in 2012. He said 2013 is off to a much better start.
The BDN reported that at the July 25 shareholders’ meeting, Gunderson said the company had negotiated with its bank on long-term debt obligations, which let the company eliminate the gap between its current liabilities and current assets.
Earlier this year, the company announced it was laying off 12 employees, or roughly 10% of its work force, as part of a restructuring effort.
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