Looking to save more than $10.2 million annually, webcasting and digital media service provider Loudeye Corp. is reducing its employee roster by 37 percent.
The company has a goal of reaching operating cash flow breakeven by the end of the year, and said the cuts were necessary to stay on target. Once the restructuring is complete, the company expects to have 130 full-time employees in Seattle, New York and Los Angeles. Loudeye will take a $1.7 million restructuring charge in the second quarter.
Among the employees receiving their walking papers was the company's chief financial officer, whose duties will be assumed on an interim basis by Jerry Goade, Loudeye's vice president, finance and controller. As part of its penny-pinching efforts, Loudeye has instituted a 10 percent salary reduction for the company's executives.
This is the second time in four months that Loudeye has reduced its work force. In March, the company cut 12 percent of its staff, including its president and chief operating officer.