NEW YORK (AP) _ Brokerage powerhouse Merrill Lynch & Co. said Tuesday it has reduced its work force by 3,300 jobs so far this year and warned that second-quarter earnings will be significantly lower than Wall Street expected.
David H. Komansky, Merrill Lynch's chairman and chief executive, told analysts in a conference call that the cuts represent almost 5 percent of the company's work force.
The job-cut figure includes 1,700 eliminations announced in April.
Merrill Lynch cited weak market conditions that have depressed its projected revenue for the current quarter below that for the first three months of the year. It said revenue from trading stocks and bonds were particularly weak.
In early afternoon trading, Merrill Lynch shares were down $7.55, or 11.3 percent, at $58.90, on the New York Stock Exchange.
The shortfall could signal earnings problems for other financial services providers.
The company said it expects earnings of 52 to 57 cents a share in the three months ending Saturday _ as much as 30 cents below what analysts surveyed by Thomson Financial/First Call had expected. The company earned $1.01 a share for the second quarter in 2000.