Cavion Cuts 80 Pct of Its Workforce Dec 18 10:19am ET

ENGLEWOOD, Colo. (Reuters) - Cavion Technologies Inc. (CAVN.O), whose secure communications network lets credit unions offer Internet banking products and electronic-commerce services, said on Monday it was cutting 80 percent of its staff and may seek bankruptcy protection.

Englewood, Colo.-based Cavion said it was unable to meet its payroll on Dec. 15 and that it did not raise funds over the weekend to fund the payroll.

A company spokesman said Cavion was cutting 69 of its 86 employees.

Cavion plans to keep its network running ``by utilizing a downsized staff until such time as additional funds can be raised or the company is sold,'' it said in a statement.

The company also said it was considering options such as seeking bankruptcy protection.

Shares of Cavion closed at 31/32 on Friday, up from a 52-week low of 3/4, but well off a 52-week high of $37-5/8. Trading in the shares was halted for news pending on Monday morning.

http://www.siliconinvestor.com/headlines/technology/20001218/262206.html

-- Martin Thompson (mthom1927@aol.com), December 18, 2000