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News
Disney to cut 135 jobs
February 26, 2001: 2:02 p.m. ET

ABCNEWS.com, ABC.com targeted; second round of layoffs for Disney
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NEW YORK (CNNfn) - The Walt Disney Internet Group disclosed Monday that it is beginning a second round of layoffs and plans to cut 135 positions.

The job cuts will come from Disney's ABCNEWS.com and ABC.com Web sites, affecting positions in operations, marketing, human resources as well as editorial, a spokeswoman said. The layoffs will come from offices in North Hollywood, Calif., Seattle, and New York.

graphicThe cuts are the latest for Burbank, Calif.-based Walt Disney Internet Group (DIG: Research, Estimates), the Internet segment of Walt Disney Co. (DIS: Research, Estimates) that operates sites such as Disney.com and ESPN.com. On Jan. 29, the Internet Group laid off 400 employees when it closed its Go.com web site.

The layoffs are an attempt by Disney to achieve profitability, the company said in a statement. Disney Internet Group declined to specify how many cuts occurred at each site.

The job cuts are the latest to occur in online media. On Feb. 15, CNBC, the business cable channel, announced plans to cut 26 percent of its full-time Internet staff as well as 4 percent of its television personnel.

CNBC.com, which competes against CNNfn.com, laid off 26 of its 100 employees in an effort to trim costs and consolidate its TV and online groups. The online finance site will also lay off some part-time and freelance employees.

Walt Disney Internet gained 7 cents to $5.87, while Walt Disney Co. rose by 44 cents to $30.74 in afternoon trading Monday. graphic





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