The hammer has fallen. Yahoo will finally make the job cuts Wall Street has craved for a long time, before a backdrop of lower profits caused by higher expenses.
As CEO Jerry Yang and other top Yahoos prepared for today's earnings conference call, someone updated the company's home page with a new featured item: ramen noodle recipes. Since ramen has a reputation for being a cheap meal, we wonder if someone was putting out an early warning to fellow Yahoos: stock up now, while you have a job Yahoo has its Reuters:"Our outlook contemplates a workforce realignment of approximately 1,000 people that we will be implementing in mid-February," CFO Blake Jorgensen told investors on a conference call to discuss Yahoo's recent results and outlook.Ari Balogh, CTO at VeriSign, takes the same role for Yahoo and frees up Jerry Yang to concentrate on CEO duties. Poaching Balogh from VeriSign to handle the CTO role indicates Yang wants to keep focused on improving Yahoo's performance without the distraction of the added duties.
Jorgensen said the company expects to record a cash charge of $20 million to $25 million during the first quarter of 2008 that is not included in the company's stated outlook.
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