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NEW YORK (Reuters) -
Online media company CNET Networks Inc
said on Wednesday it will eliminate 120 jobs, or about 10
percent of its staff, in a restructuring to help it focus on
long-term growth amid complaints from some investors.
CNET expected pre-tax restructuring charges from the job
cuts to run between $3.5 million and $4 million, most of which
will be taken in the first quarter of 2008.
The job cuts are effective immediately.
The moves come after hedge fund Jana Partners LLC won a key
court ruling earlier this month that could help it take control
of CNET's board.
Jana Partners, which holds about 10 percent of CNET's
voting stock, is leading a group of investors that wants to
"revitalize" the company and boost its share price.
CNET has said it will appeal the March 13 ruling by the
Delaware Supreme court that allowed Jana Partners and the rest
of the group to nominate additional directors to the media
company's board.
CNET shares rose 6 cents to close at $7.25 in Nasdaq
trading on Wednesday.
(Reporting by Paul Thomasch; Editing by Andre Grenon)
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