BlackBerry’s cash reserves look set to take another hit. Bloomberg reports that BlackBerry said in a regulatory filing this week that laying off 4,500 workers — around 40% of its total workforce — will cost the company $400 million, or four times its original estimates. BlackBerry also says that it “plans to unload factories, manufacturing gear and property” as part of its larger cost-cutting plan, according to Bloomberg. BlackBerry last week reported second quarter results showing that the company recorded a GAAP operating loss of $965 million on sales of $1.6 billion, which marked a 49% year-over-year decline in revenues. The company has been slimming down while it works to complete a buyout with Fairfax Financial that would take it private for $4.7 billion.
BlackBerry layoffs to cost $400 million, quadrupling earlier estimates
Published Oct 2nd, 2013 9:45PM EDT
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Brad Reed has written about technology for over eight years at BGR.com and Network World. Prior to that, he wrote freelance stories for political publications such as AlterNet and the American Prospect. He has a Master's Degree in Business and Economics Journalism from Boston University.
