Asian Internet holding company Chinadotcom is consolidating offices and plans to reduce its work force by about 20 percent through the first half of this year in response to poor market and economic conditions.
The Internet holding company, which operates portals in Hong Kong, Taiwan, China and the US as well as Internet advertising agency 24/7 Media Asia and system integrator The Hong Kong Web Connection, expects to cut its staff to less than 2,000 employees by the end of the second quarter from the 2,417 it had at the end of December, according to a company statement Tuesday.
The company also will sell non-core assets and operations and consolidate several local operations into fewer office locations. However, it will "maintain a strong presence in all countries in which it currently has operations," according to the statement.
The statement did not specify which operations and assets are "non-core." Company officials could not be reached for comment.
The moves are an attempt to reduce recurrent expenses in order to align expenses with revenue, according to the statement, which cited "global economic uncertainties and difficult market conditions."
For calendar year 2000, Nasdaq-listed Chinadotcom reported a loss of US$59.8 million [m] on consolidated revenue of US$121.2 million [m].
Chinadotcom, in Hong Kong, can be reached at +852-2893-8200 or via the Web at http://www.corp.china.com.