Los Angeles Business Journal

Cyberdefender to Lay Off Up to 307 Workers

By Deborah Crowe Originally published May 23, 2012 at 2:40 p.m., updated May 23, 2012 at 5:44 p.m.

CyberDefender Corp., which is being sold to infomercial marketer Guthy-Renker Corp., has filed its intention to lay off most of its work force.

The downtown Los Angeles company, which makes computer security software and provides other IT services, told the California Employment Development Department that it intends to lay off up to 307 workers as of June 1. The notice was filed in compliance with the California Worker Adjustment and Retraining Notification Act, which requires at least 60 days advance written notice of an intended mass layoff or plant closing.

The notice posted on the state EDD web site, first reported by the SoCalTech web site, did not say how many workers the company currently employees, but a recent company filing with the U.S. Securities and Exchange Commission listed 379 employees. The company did not immediately return a call for comment.

CyberDefender in February filed for Chapter 11 bankruptcy protection and announced an agreement to sell most of its assets to GR Match LLC, an investment unit of Santa Monica-based Guthy-Renker.

GR Match, an early investor in CyberDefender, agreed to provide as much as $4.6 million in debtor-in-possession financing to enable CyberDefender’s daily operations to continue without interruption during the reorganization.