DreamWorks to cut movie production, fire 500 staff

Los Angeles

DREAMWORKS Animation said on Thursday that it would reduce its movie output and lay off 500 employees, or roughly 19 per cent of its staff, a retrenchment that follows a string of box-office misfires and two failed merger attempts.

The struggling studio said the moves were necessary to "ensure the consistent and profitable delivery" of films. Rather than trying to release three movies in a single year, as it did in 2014, DreamWorks will release one film this year and two annually after that.