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PictureTel Reorganizes Business Lines and Shuffles Management

Videoconferencing company PictureTel (http://www.picturetel.com) said today it was putting in place a new management structure and realigning its businesses into one single entity.

Its 1414c and MultiLink subsidiaries, however, will remain separate.

"While separate product and service focus was appropriate in the past, our turnaround requires that the company drive toward one common goal," said Lew Jaffe, president and COO of PictureTel. "Our new structure will integrate our efforts and assure a singular, integrated management focus on achieving that goal."

Norman Gaut will continue as Chairman and CEO but President and Jaffe will head Worldwide Sales, too. Jaffe was just hired in June from Arthur Andersen.

On Wednesday, PictureTel announced it was cutting expenses and terminating its lease at its Andover, Massachusetts location.

Things aren't looking very rosy for PictureTel as it has been struggling to reinvent itself lately. The company is pinning its hopes for the future on its just-announced 900 Series videoconferencing system.

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