Lionsgate Lays Off 80 Employees9 Mar, 2012 By: Erik Gruenwedel
Lionsgate has let go 80 employees in its motion picture and home entertainment divisions as it continues to integrate recent acquisition Summit Entertainment.
No specific positions or titles downsized within either division were disclosed.
The Santa Monica, Calif.-based mini-major plans to downsize another 20 positions either through attrition or layoffs to bring the combined workforce to about 575 employees, said a source familiar with the situation.
When Lionsgate acquired Summit earlier this year it had 500 employees while Summit had 175. Most overlapping positions exist within the motion picture and home entertainment divisions. The layoffs are across the both studios and not predominantly within Summit, the source said.
The downsizing comes the same day Lionsgate promoted Steve Beeks to president of the motion picture group, in addition to re-upping the 14-year executive as co-COO of the company.
Joe Drake was the previous president of the motion picture group. It is not immediately clear if Drake is still with Lionsgate.
“[Wall Street] is looking for us to achieve some cost synergies,” said the source.