Paramount Cuts 53 Jobs, Saves $10 Million
LOS ANGELES (AP) — Viacom Inc.'s movie studio, Paramount Pictures, says it is laying off 53 people worldwide, most of whom are based in Los Angeles.
The move will save about $10 million a year.
Chief Operating Officer Frederick Huntsberry and Vice Chairman Rob Moore informed staff of the move in an e-mail Thursday.
The layoffs will come by merging certain divisions, including folding the direct-to-home-video team under Paramount Digital Entertainment, which produces made-for-Internet videos.
All movie studios have been suffering from a decline in DVD sales.
In the quarter that ended in June, Paramount's revenue fell 10 percent to $1.25 billion, but it posted $69 million in operating profit as it cut costs by releasing fewer movies.
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