Dreamworks going to be hit with massive layoffs (400).
The LA Times states:
In a move to cut operating costs, the Glendale studio intends to significantly reduce the size of its workforce, said the people, who asked not to be identified because they were not authorized to discuss the plans.
Layoffs are expected to include animators, story-board artists and other production personnel and support staff at the studio’s Glendale and Redwood City facilities, which employ about 2,200 workers.
A spokesman for DreamWorks said the company “does not comment on rumor and speculation.”
The restructuring comes after a turbulent period for DreamWorks Animation, which has been attempting to diversify its operations following a rocky period at the box office that has eroded profits and caused a sharp decline in the company’s share price.
The company, founded two decades ago, has struggled to replicate the success of its earlier “Shrek,” “Kung Fu Panda” and “Madagascar” movies.
The company has reported three write-downs in the last two years for “Mr. Peabody & Sherman,” “Rise of the Guardians” and “Turbo.”
More at the LA Times
Update from Twitter:
BREAKING: DreamWorks Animation to cut about 400 jobs, more than its last round of layoffs, as the studio’s hits have slowed down.