Playboy lays off 14% staff; eyes India

NEW YORK: Soft-porn magazine publisher Playboy Enterprises, which has cut its work force by 14 per cent to save costs, has identified India as a key target region to expand its geographic distribution.

Other regions where the New York Stock Exchange-listed firm is targeting to expand its presence include China and Latin America.

In an investor presentation, the company said that as part of measures to cut costs in "corporate and other overheads, the company has slashed its headcount by 14 per cent," in addition to which finance, HR, and IT staffing have been reduced.

Besides, the publisher has cut down on compensation and discretionary expenses and expects annual savings to the tune of $5 million from all these moves.

The firm has initiated steps to save as much as $7 million in publishing and entertainment. The moves include "outsourced functions, shut-down non-performing business, reduced marketing and editorial spending", the presentation showed.

Playboy Enterprises will focus on growing its licensing business and also to create content for use on integrated media platforms.

The presentation was made by the company at a global media and communications conference organised by investment banking major UBS.

Last week, Playboy Enterprises chairman and chief executive Christie Hefner announced that she would be stepping down as CEO on January 31. Hefner, 56, is the daughter of octogenarian Playboy founder Hugh Hefner, who built a media empire by printing naked pictures of beautiful and (in)famous women.