The second largest manufacturer of software for mainframe computers, CA Inc. said on Tuesday that the company is going to lay-off 1,000 employees. It is forced to do so since the market conditions have not improved the way it had expected them to.

This makes it a reduction of 6.7 per cent in its total workforce. CA has in total 15,000 people working for it.

Besides that, the company has also faced with lower full-year profit for the year 2009. It was at the lowest possible end of its forecast and this is not a very good sign, the company further added.

The New-York based firm also informed the regulator in its filing that by the month of September these reductions will get over. It would lead in saving $50 million in costs.

The company also said that its 2010 profit were at the lower-end of its of $1.46 a share to $1.57 a share forecast.

CA gets maximum profit from the financial sector and because of the recession it has suffered a lot.

After the new, CA’s share price went down by as much as $2.88 to $20.98, before US trading began.