IDT to Cut Workers From Winstar Unit

IDT(IDT Quote) said it would slash about 65% of its Winstar unit's existing nonsales workforce in an attempt to return to profitability by year's end by leaving the wireline telephone business.

The telecommunications company plans to increase Winstar's fixed wireless network by adding 600 new buildings, bringing the company's total number of wireless buildings to 4000, and to significantly increase its sales force.

In a press release, IDT said it bought Winstar with the goal of reaching profitability by the end of the year, and these changes will speed up that process.

Shares of IDT closed at $18.98 Friday on the New York Stock Exchange.