Yahoo earnings as bad as everyone thought, or worse
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Yahoo's earnings announcement was ghastly in two ways. The bad news: Its revenues were flat and earnings down 64 percent. The worse news: It is only cutting 10 percent of its workforce, or 1,500 employees, which will reduce expenses by $400 million. The cuts are not nearly deep enough. Yahoo is forgoing immediate pain for a prolonged period of uncertainty, as investors continue to abandon the stock and employees expect further layoffs down the road.