AmEx To Cut Jobs, Marketing Spend

  • May 19, 2009
American Express announced plans to reduce spending on marketing and business development to help it save $500 million this year.

The company will also cut 4,000 jobs, or about 6% of its workforce, which will save it $175 million in 2009. The company said it will take a restructuring charge of $180 million to $250 million, before tax, in the second quarter to pay for severance and other costs related to the workforce reduction.

The company also hopes to save $125 million by cutting expenses for travel, general overhead and consulting and other professional services.--Tanya Irwin

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