PlanetOut Lays Off 15 Percent of Staff in Restructuring

PlanetOut, the troubled media company which operates websites, magazines and travel services for the gay and lesbian community, said today its board approved a restructuring plan that will reduce the company’s total work force by about 15 percent, according to an SEC filing. It is planning to close its international offices in Buenos Aires and London. The company employed 273 full-time workers worldwide as of December 2006, including 10 in Britain and 26 in Argentina.
This follows the funding last week: it sold 22.8 million shares for gross proceeds of $26.2 million, which comes to 56 percent of the company. The investors include the private investment vehicle of Microsoft Corp. chairman and co-founder Bill Gates, Cascade Investments. The company expects to complete its restructuring plans by end of Q3.