In its Friday filing with the Securities and Exchange Commission, Yahoo revealed that it expects to report, in the fourth quarter, $33-$38 million in charges related to job-cuts which it announced earlier this week.
Earlier, in a Tuesday announcement, Yahoo had disclosed that it is slashing 4 percent of its work force by laying-off 600 employees. The confirmation about the job-cuts by Yahoo followed weeks of speculation about whether a long-running financial downslide will prompt the company to trim its payroll before the new year.
The filing by Yahoo noted that most of the charges that it intends reporting in the fourth quarter will be for severance and other costs, Yahoo said that the charges will probably be somewhat counterbalanced by a credit of almost $4 million to $6 million pertaining to the stock option expenses of the laid-off employees.
The recently-announced lay-offs mark the fourth mass firing by Yahoo in a period of three years; with these job-cut moves essentially aimed at boosting the company's earnings.
Yahoo is facing increased pressure to reduce its costs, more so as its revenue has witnessed a nearly 2 percent leap so far this year. The company's CEO Carol Bartz has also promised to increase operating profit margin - which was almost 12 percent during the first nine-month period this year - to as much as 24 percent by 2013.












