Thursday, November 5, 2009

United Online Cuts Staff

Woodland Hills-based United Online disclosed on its quarterly earnings call late Wednesday that it is cutting 96 employees, as part of a move to increase efficiency and streamline operations at the firm. According to the firm, 71 of the employees are being cut from Classmates Media Segment, which includes Classmates.com, with the remaining 25 from its Communications Segment, which includes its dialup service. The cuts are equal to five percent of the firm's overall workforce. The firm said the reduction in force is part of a restructuring plan for the two areas. United Online said the cuts would save it $10.5M in annual costs.