Citgo Announces Layoffs in Venezuela Amid Crisis

Thursday, 12 Feb 2009 | 2:22 PM ET

Venezuela's Citgo Petroleum says it's laying off 75 employees because of the world economic crisis.

The company says it's restructuring to better adapt to the economic downturn.

Citgo says 2 percent of its 3,762 employees will be offered special severance packages.

In a Wednesday statement announcing the layoffs, Citgo denied reports that there have been massive numbers of employees let go.

The company said last month it re-evaluated a program to provide heating oil to poor U.S. citizens. But it has decided to go ahead and donate up to 45 million gallons — worth $60 million at today's prices.

Based in Houston, Citgo is a subsidiary of Venezuela's state oil company.

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