America Online Cuts To Include Va. Jobs

http://www.washingtonpost.com/wp-dyn...-2002Dec5.html

AOL Time Warner Inc.'s Internet unit is planning to slash at least $100 million in operating expenses, including hundreds of jobs at its Northern Virginia headquarters, because of a sharp drop in advertising revenue and changes in business strategy, sources said yesterday.
The cost-cutting is aimed at bringing costs in line with a projected plunge of 50 percent in ad revenue next year. America Online Vice Chairman Joseph A. Ripp, who is overseeing the spending cuts, told managers that no division of Internet service provider will be immune from a detailed review of its operating expenses, sources said.

Decisions about where to make the cuts will be made over the next few months, sources said. America Online employs more than 5,500 people in Northern Virginia. Employees in New York, California and Ohio also may lose their jobs. The company also hopes to save money by cutting computer network expenses.

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Odd how this seems to coincide with Time-Warner’s plans to open up a major facility in China!