Yahoo! Cutting 5% Workforce
Yahoo! Inc. (NASDAQ:YHOO) announced earlier this week that they are planning to cut an additional 5% of their global workforce. In October 2008, the company had to layoff 10% of their workforce. The announcement was frustrating for newly appointed CEO Carol Bartz to the point where she dropped the f-bomb on the conference call.
“So we had a lot of people running around telling engineers what to do, but nobody f**king doing anything,” stated Bartz. On top of the layoffs, Bartz has to deal with decline in advertising revenues which had gone down in the company’s first quarter.
Yahoo!’s operating cash flow was $409 million in the first quarter. The company also stated that it plans to continue unspecified non-headcount cost reductions in order for them to make investments in core operations. The company made $1.58 billion in revenue in the first quarter which is down 13% from the year before.
[via Reuters]This article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at +AmitChowdhry