Time Warner's HBO is eliminating more than 150 positions, according to a person with knowledge of the plans, joining the job cuts taking place across the company to improve profitability.
About 7% of HBO's 2,400 employees will be let go, said the person who asked not to be identified because the plan is private. Variety reported the job cuts earlier today.
Time Warner is under pressure to deliver returns to investors after CEO Jeff Bewkes spurned a $75 billion buyout offer from Rupert Murdoch's 21st Century Fox. Even HBO, which earlier this month announced a new online service that won't require a cable subscription, is slashing costs. The same day the U.S. offering was disclosed, HBO's CEO Richard Plepler sent a memo announcing job cuts, without giving a number.
"A hallmark of our long-sustained success has been the commitment to making very difficult decisions even during times of growth and optimism," Mr. Plepler wrote in the Oct. 15 memo.
Keith Cocozza, a spokesman for Time Warner, declined to comment on the job cuts.
Earlier this month Time Warner's Turner Broadcasting division announced plans to eliminate 1,475 positions, about 10% of its global workforce. The company's Warner Bros. division also announced plans to cut jobs in September.
~ Bloomberg News ~