Playboy to stop making DVDs to beat credit crunch

October 18th, 2008 - 5:06 pm ICT by ANI  

Hugh Hefner

London, Oct 18 (ANI): Playboy has decided to stop its DVD production in order to protect itself from the effects of the stumbling economy.

The multi-million dollar worth glamour empire is to put a stop on its DVD making business for saving around 12million dollars every year.

Playboy Enterprises Inc have now revealed that instead of DVDs, they will now be focussing more on distributing their content online.

If comes into effect, the move will cost the company 80 jobs and 2 million dollars in restructuring charges, reports The Telegraph.

However, Playboy is expecting that some of the benefits from the cuts can be seen by the fourth quarter of 2008, and the full effects could be seen next year.

It was only last month that Playboy mogul Hugh Hefner was advised to cut back on staff to save itself from bankruptcy.

The company has recently seen shares fall from 6.20 pounds to 1.55 pounds. (ANI)

Related Stories

Tags: , , , , , , , , , , , , , ,

Posted in South Asia |