Auction house

Sotheby's

(BID) - Get Report

widened its loss in the first quarter, hurt by the diminishing international art market.

During the quarter, the company recorded a loss of $34.5 million, or 53 cents a share, compared with a loss of $12.4 million, or 19 cents a share, in the year-ago period.

Revenue fell 58% to $54.4 million.

The company is also cutting its dividend to an annual rate of 20 cents from 60 cents per share.

On Tuesday, Sotheby's offered 36 impressionist and modern works of art and sold 29 for a total of $61 million, well off its $119 million estimate.

Last week the company announced that it plans to slash its workforce by another 5%. Earlier in the year Sotheby's trimmed employees by 15%. It also plans unpaid furloughs and salary reductions for top management.

Privately-held

Christie's

also is in the midst of a company-wide reorganization.

Both Christie's and Sotheby's said that they will have fewer artworks to sell during the spring auction season.

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