Sonic Solutions(R) (Nasdaq: SNIC) today announced a restructuring intended to improve execution and financial performance. The restructuring will result in a reduction of Sonic's workforce as well as the consolidation of its Advanced Technology Group ("ATG") and Roxio(R) division into a single business unit. Through this combination, Sonic will unify its OEM licensing efforts, eliminate organizational redundancies, and improve product design methods and processes.

Dave Habiger, chief executive officer and president, said: "Our goal for Sonic is to execute on an exciting, digital media-centric strategy. This restructuring enables us to focus on specific growth opportunities and improve our near-term profitability."

Under the restructuring, Sonic will reduce its employee and contractor workforce by approximately 100 positions, generating annual cost and operating expense savings of $14 million. The company expects to incur one-time severance and other related costs of $2.5 million.

An update on Sonic's business outlook and further information concerning the restructuring will be provided during the company's previously scheduled fiscal second quarter earnings release next Wednesday, November 5. Details about the conference call can be found on the company's website, www.sonic.com.