It may also reflect the fact that Deltek sent termination notices to the bottom 10 percent to 15 percent of its channel, according to CEO Kevin Parker, and gave more leads to the top VARs. He said the cuts were made late in the second or early in the third quarter. Parker was pleased with results which he said included top VARs winning new business and moving into new verticals. Overall, revenue for the most recently ended period dropped to $64.1 million, down 9.6 percent from just under $71 million in last year’s corresponding quarter. Net income fell to $6.6 million, down 24.4 percent from just over $8 million a year earlier. Parker said international sales grew to 11 percent of total revenue for the third quarter, up from 5 percent a year ago and 5 percent in 2009’s second quarter. The CEO noted that the five largest deals this year for Vision, which serves the architectural and engineering market, were all international and three of those came in the September quarter. Deltek was also subject to a significant decline in government spending which impacted its government contracting business. The Obama administration is looking at changes in the procurement process, which has led to a substantial slowdown in the awarding of contracts. Parker says Deltek believes that slow down is a short-term phenomenon. As part of Deltek’s expenses cutting efforts, it turned two Texas sites into virtual locations with about 70 employees now working from home. The company plans to expand the program, “where it makes sense,” Parker said. He pointed to investments in telephony and videoconferencing as making the move possible.