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EA Plans $700 Million in Cuts After $18 Billion Debt Deal
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Windows Report
EA is reportedly preparing to cut around $700 million in annual costs after completing its transition from a publicly traded company to private ownership.
Bloomberg reporter Jason Schreier says the deal included approximately $18 billion in debt that EA must now help repay.
EA targets major cost reductionsEA’s new owners reportedly want the company to lower annual expenses by approximately $700 million.
But the publisher has told debt investors that it will cut $700 million in annual costs including $170 million in "organizational efficiencies," per Bloomberg.
The $700 million target could also represent the first phase of a wider cost-cutting program.