WWE releases multiple Superstars and staff including hall of famer Kurt Angle. A sad day in wrestling when wrestlers get fired!
The Lonely Banter sports reacts to the breaking wrestling news of WWE Hall of Famer Kurt Angle and many more superstars being fired. Within hours of a WWE press release announcing the cost saving measures the company would be taking due to the global crisis, World Wrestling Entertainment has released several wrestling Superstars. What is Vince McMahon doing at WWE?
STAMFORD, Conn.–(BUSINESS WIRE)– WWE (NYSE: WWE) today provided an update on measures taken by the Company in response to the current impact of COVID-19 on the organization.
Due to COVID-19 and current government mandated impacts on WWE and the media business generally, the Company went through an extensive evaluation of its operations over the past several weeks. This analysis resulted in the implementation of various short-term cost reductions and cash flow improvement actions including:
- Reducing executive and board member compensation;
- Decreasing operating expenses;
- Cutting talent expenses, third party staffing and consulting;
- Deferring spend on the build out of the Company’s new headquarters for at least six months.
Given the uncertainty of the situation, the Company also identified headcount reductions and made the decision to furlough a portion of its workforce effective immediately. The decision to furlough versus permanently reduce headcount reflects the fact that the Company currently believes the furlough will be temporary in nature.
The Company’s reductions of employee compensation and headcount result in an estimated monthly savings of $4 million along with cash flow improvement of $140 million primarily from the deferral in spending on the Company’s new headquarters. Additionally, the Company has substantial financial resources, both available cash and debt capacity, which currently total approximately $0.5 billion, to manage the challenges ahead. Management continues to believe the fundamentals of the Company’s business remain strong and that WWE is well positioned to take full advantage of the changing media landscape and increasing value of live sports rights over the longer term.
The Company will provide further details when it reports its first quarter 2020 results next Thursday, April 23 after the close of the market
WWE has come to terms on the release of Kurt Angle, Rusev (Miroslav Barnyashev), Drake Maverick (James Curtin), Zack Ryder (Matthew Cardona), Curt Hawkins (Brian Myers), Karl Anderson (Chad Allegra), Luke Gallows (Drew Hankinson), Heath Slater (Heath Miller), Eric Young (Jeremy Fritz), Rowan (Joseph Ruud), Sarah Logan (Sarah Rowe), No Way Jose (Levis Valenzuela), Mike Chioda, Mike Kanellis (Mike Bennett), Maria Kanellis, EC3 (Michael Hutter), Aiden English (Matthew Rehwoldt), Lio Rush (Lionel Green), Primo (Edwin Colon) and Epico (Orlando Colon Nieves). We wish them all the best in their future endeavors.