Abel, you’re fired. And so are you, and you …
After his brutal public firing of Patch creative director Abel Lenz last week, AOL Chief Executive Tim Armstrong swung the ax again yesterday.
AOL’s Patch said it would eliminate 500 workers — roughly half the staff of the local-news network — and close around 200 of its 900 sites in a bid to reach profitability.
Another 200 sites could be shuttered if AOL is unable to find other media companies to partner with them.
The company did not disclose which Patch sites were targeted for closure or which ones were suited for partnerships.
“Patch, as previously announced, is taking steps to move to profitability,” AOL said in a statement yesterday.
“Patch’s strategy will be to focus resources against core sites and partner in towns that need additional resources. Additionally, there are sites that we will be consolidating or closing.”
About 350 people got pink slips yesterday; another 150 were asked to stick around for a couple of months while AOL tries to line up partners.
The Patch problem has been a sore spot for Armstrong.
During a meeting last week with Patch editors to outline the downsizing, the CEO lost his temper when Lenz tried to take his picture.
“Abel, put that camera down. You’re fired. Out,” Armstrong said.
After four days of relentless bad publicity, Armstrong apologized for the way he publicly fired Lenz but not for the firing itself.
The company said it will take a charge of as much as $18 million this year related to the job cuts.
AOL has spent an estimated $300 million on the money-losing local news venture. Armstrong is under pressure from the company’s board to reach profitability this year.