At least 75% of New Line’s 600 employees will be cut in coming months while a bare-bones staff stays on (much like the post-Weinstein Miramax) reports Variety.
The announcement of the studio being folded into Warner Bros. Pictures late last week has lead to much speculation in the media as to what happens next.
It’s anticipated that the studio will vacate its offices in New York and West Hollywood, with the remainder of operations moved onto the Warner Bros. lot in Burbank.
Time Warner chief Jeff Bewkes addressed hundreds of New Line employees on Friday and claimed the company wants to retain as many New Line employees as possible.
Nevertheless he indicated that NL heads Bob Shaye and Michael Lynne will definitely be stepping down soon, whilst production president Toby Emmerich may also depart.
The biggest question now is the fate of New Line’s immediate upcoming films, most notably “Harold and Kumar Escape From Guantanamo” on April 28th and “Sex and the City” on May 30th. A decision on whether either will be delayed is not expected for several weeks.