Atlantic Richfield to Cut 300 More Jobs

Atlantic Richfield Co. said it will eliminate an additional 300 jobs and take charges of $890 million in the fourth quarter, continuing a trend of cutbacks and consolidation in an oil industry battered by low prices for crude and weak demand. The layoffs will now total about 7% of Los Angeles-based Arco’s total worldwide work force of 18,000. “The bulk of the cuts are in corporate offices and technical areas, such as engineers and scientists,” said spokeswoman Linda Dozier. The new layoffs will come from various units throughout the U.S.; the initial 900 cuts focused on Arco’s Los Angeles and Plano, Texas, operations. Arco also reiterated its plans to cut 1999 capital spending to $2.7 billion worldwide, down 25% from 1998 levels. The company said that while the global cost-reduction plan it announced in October will cost $180 million after taxes, the reorganization will cut costs by $500 million by 2000. Arco’s shares rose 44 cents to close at $61 on the New York Stock Exchange.