RealNetworks Announces Restructuring, Layoffs (RNWK)

RealNetworks

has announced a $10 million charge as part of its restructuring costs. $7 million is related to office real estate and $3 million is related to layoffs. The company is eliminating 85 positions, including 25% of the executive team. Management is trying to streamline the business. It will be separating its Games division later this year. Morgan Keegan analysts Tavis McCourt said, "Although we are not changing our financial estimates currently, we do expect Real's profitability and cash balance to improve as it executes on this strategy through the remainder of 2010."