BlackBerry said Friday it will slash 4,500 jobs, or above 40 percent of its workforce, as part of a restructuring and announced preliminary earnings and revenue that fell short of Wall Street's estimates.
As part of the massive restructuring, the struggling company said it targets reduction of its operating expenditures by approximately 50 percent by end of the first quarter in fiscal 2015.
Trading in shares of BlackBerry had been halted due to "news pending" on both Nasdaq and the Toronto Stock Exchange.
In the minutes after trading resumed at 3:35 pm ET, the shares plunged as much as 23 percent to $8.06, before bouncing back a bit from its low. They closed at $8.83, down $1.79 or 17.1 percent.
Before the late-session halt, BlackBerry was priced at $10.27, down $0.25 or 2.38 percent on the day.
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"The company has sailed off a cliff," said Collin Gillis, an analyst at BGC Partners. "What do you expect when you announce you're up for sale? Who wants to commit to a platform that could possibly be shut down?"
Following the news, David Garrity, a principal at GVA Research, said "today's announcement just brought the end game a lot closer."