Monday, June 3, 2013

Zynga Details Job Cuts

San Francisco-based Zynga has detailed the cuts at the company, saying it has laid off approximately 520 employees, or 18 percent of its global workforce. Those cuts have resulted in the shutdown of Zynga's Los Angeles office. Zynga is also cutting its Dallas and New York operations as part of the move. Zynga said the moves will save it an estimated $70M to $80M in pre-tax, annualized cash expenses. The move comes as Zynga said it expects a net loss in the range of $39 million to $28.5 million, and that it is expected booking to be in the "lower half" of its outlook range. Zynga blamed the cuts and losses on "underperforming" games.

---