Garden.com Announces Layoffs
Online gardening site Garden.com said yesterday it would lay off employees in an effort to cut costs, according to wire reports.Garden.com, Austin, TX, said it expected revenues of between $2.3 million and $2.5 million, a million less than analysts' predictions. The company also said it expected a net loss of 57 cents to 62 cents per share. Garden.com shares have fallen 94 percent from the company's 52-week high of $24.12.
To offset its financial problems, Garden.com will lay off 93 employees.
"After reviewing the funding options available to us at this time, we found that the current cost of capital was unacceptable to continue to fund the growth and operating plan we have been executing on for the past year," Cliff Sharples, president/CEO and co-founder of Garden.com, said in a statement. "We made the tough decision to reduce our work force, so that we could refocus our energies, leverage our critical skills and assets, and evolve our business model to more accurately reflect existing market conditions."
