Saturday, January 10, 2009

World Wrestling Entertainment to cut more than 60 jobs under broader cost-reduction plan

STAMFORD, Conn. (AP) -- The company behind such television shows as "Friday Night SmackDown" said the cuts will occur across all areas of the more roughly 600-employee company, yielding expected annual savings of $8 million in compensation and benefit costs.

The cuts are part of a broader campaign to reduce costs by $20 million this year through stronger cost controls and other steps. World Wrestling Entertainment expects to record a $3 million restructuring charge against its first-quarter earnings as a result of the move.

"With these actions, we believe we can execute our key strategic initiatives, including our digital strategy and international expansion, in a more profitable manner," Chief Executive Linda McMahon said.

Shares of World Wrestling Entertainment fell 46 cents, or about 4 percent, to $10.60 in morning trading

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