Yahoo’s Sale to Verizon Has Been Approved and Cuts are Coming

About 2,100 jobs will be cut

Twitter: @timarmstrongaol

Yahoo’s shareholders approved the expected sale of Yahoo to Verizon, and, in news much more disturbing than the previously disclosed name of the combined Yahoo-AOL entity that will be known as Oath is the prospect of about 2,100 job cuts across both organizations, representing about 15 percent of the combined staffs. The news was first reported by TechCrunch.

The cuts will be aimed at Oath, which will be led by AOL CEO Tim Armstrong, with some departments likely to be hit harder than others. Yahoo CEO Marissa Mayer is expected to leave following the close of the deal, taking about $186 million worth of stock and stock options with her. That figure was based off of a $48.15 share price. Yahoo stock is currently up from that figure, trading at about $55 a share.

The purchase price is $4.48 billion, representing a $350 million discount that both parties agreed to after Yahoo revealed in December that a 2013 data breach had affected more that 1 billion accounts. This came after a previous reveal of a separate breach of 500 million accounts.