© Reuters. FILE PHOTO: The WeWork logo is displayed on a screen during the company’s IPO on the floor of the New York Stock Exchange (NYSE) in New York City, U.S., October 21, 2021. REUTERS/Brendan McDermid/File photo
(Reuters) -Flexible workspace provider WeWork Inc on Thursday said it will exit about 40 locations across the United States in a bid to cut costs.
The closures, of about 41,000 workstations, are expected to pull down revenue but the simultaneous cost reductions will contribute roughly $140 million to annual adjusted core earnings.
The move is a part of the company’s effort to pare back expenses and reduce its debt load and lease obligations
WeWork’s systemwide real estate portfolio consisted of 801 locations across 39 countries, as of Sept. 30.