GSI discloses layoffs, SEC investigation

GSI Group Inc. detailed some recent layoffs and said that the US Securities and Exchange Commission is conducting a formal investigation of accounting errors that GSI disclosed last year.

Headquartered in Bedford, GSI supplies precision technology components, lasers, and laser-based manufacturing systems to the global medical, semiconductor, electronics, aerospace, and industrial markets.

GSI said it has been notified by the SEC that the "SEC is conducting a formal investigation relating to the company's identified errors in the timing of recognition of revenue from sales to certain Semiconductor Systems Segment customers from 2005 through 2008."

GSI said in a press release that it "intends to cooperate fully with the SEC investigation."

The company also said that it has undertaken a number of "major cost reduction initiatives, including a rolling workforce reduction of approximately 158 employees in the first quarter of fiscal 2009 and 16 employees in April 2009."

Calls to the company were not immediately returned.
(By Chris Reidy, Globe staff)