Stamps.com (Nasdaq: STMP) said Monday it will lay off about 240 employees as part of a plan to streamline operations and move towards profitability.
Shares in the Internet-based shipping company closed down 0.03 to 2.72 Friday. The stock has been troubled since it got a downgrade in September. Things got worse when the company's CEO resigned.
The layoffs will include full-time, part-time and contract employees across all locations, including Santa Monica, Calif., and Bellevue, Wash. The move is part of Stamps.com's plan to preserve cash.
"Although we have nearly $300 million in cash reserves, today's competitive environment demands that we operate our business at maximum efficiency," said Stamps.com Chairman Marvin Runyon. He said the moves will help the company reach its "profitability goals," while adding value to the company.