Inside a hard times at iXL

By now, you may have heard about financial troubles at iXL Enterprises, the huge Web-consulting firm based in Midtown. IXL’s troubles became publicly known when company president Bill Nussey resigned Sept. 1. But that same day, employees were given their own hint that more bad news — including 350 layoffs nationwide announced Sept. 7 — was headed their way. In an internal memo distributed Sept. 1 and obtained by Creative Loafing, chairman and CEO Bert Ellis warned iXL employees about hard times ahead. The memo offers insight into how candidly Ellis is dealing with the fall from grace of what had been one of Georgia’s hot high-tech companies.

“This is going to be a tough period for the next six months. Our sector is now out of favor and many of our competitors are also going through ‘transition quarters,’” Ellis wrote.

Ellis told employees Barry Sikes, formerly “chief people officer”, would serve as chief operating officer “to help me get our operations fixed.” He said executives would refocus, run the company more efficiently and cut waste from operations. But the memo also was intended to reassure employees.

“We can fix this company ... Trust us,” Ellis wrote. “Please enjoy your Labor Day Weekend. Relax and recharge and we will fix this problem together starting next week.”

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