The insight to Vignette's 2001 activity has come via its first-quarter teleconference. The economy's uncertainty and declining IT spending are driving the decision. "We intend to further reduce our discretionary spending, including some additional consolidations of facilities and some further reduction in staff," Greg Peters, Vignette's board chairman and CEO, had said in the conference.

At least for now, it doesn't appear that the high-tech company is planning anything for its downtown property. Rumor has it that there is a letter of intent out on the site, but GlobeSt.com has been unable to confirm that. Vignette had plans for a two or three building complex, with the first phase calling for about 750,000 sf. As an enticement, the city had kicked in a $25-million incentive package last year. Since then, all's been quiet on the company front, with officials not returning phone calls inquiring about the project's status. The company houses the majority of its 1,957 employees in leased buildings along MoPac Boulevard.

The five-year-old Vignette had started the first quarter with a series of cost-cutting measures, including a 15% workforce reduction and a few office closings. The measures, says Vignette officials, have worked. While more employees will be cut, the plans don't affect the 143-member sales force, which is key to Vignette's 2001 strategy. Near-term decisions won't drive the company's long-term goals, says Peters. Vignette has $419 million in cash, making it "better capitalized than other competitors," says Peters.