MUMBAI: Warner Bros. Entertainment has fired 250 to 300 employees at its Burbank studio in california in an effort to cut costs.

Media reports indicate that at least 100 additional people will lose their jobs in the studio's international operations. Warner says that the difficult measures are being taken to position the company for the future. The company says that it has examined every aspect of its business in order to cut costs responsibly and to keep staff reductions to a minimum.

Warner's job cuts come as Hollywood is being forced to deal with incrweasing production costs while the once-hot DVD market cools off, box office revenue is down by eight per cent and TV syndication is drying up. AOL meanwhile will cut 700 jobs.