SCO caps legal costs as losses mount With its cash reserves dwindling and losses continuing to mount, The SCO Group Inc. is taking measures to cut its expenses and ensure it will have enough cash to process its lawsuit with IBM Corp, the company announced during its quarterly earnings conference call Tuesday. SCO reported a loss of \$7.4 million on revenue of \$11.2 million for the third quarter - a loss that was affected by the \$7.2 million in legal expenses the company incurred during the quarter, which ended July 31.