AOL to Lay Off 40% of Staff

All Things D: Unnamed sources say that AOL will soon announce layoffs of 40 percent of its employees, most of them from its instant messaging and mail divisions. In addition, they say Eric van Miltenburg, SVP of business operations, and Jason Shellen, head of the AIM division, will be leaving the company.

Several other top executives have recently left AOL. The company is pursuing cost-cutting measures while facing a challenge from an activist shareholder.

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