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Yahoo has a 'kill list' for underperforming parts of its business

Jan 28, 2016, 15:28 IST

Marissa Mayer, President and CEO of Yahoo, (R) participates in a panel discussion with Marc Benioff, CEO of Salesforce, (C) at the 2015 Fortune Global Forum in San Francisco, California November 3, 2015REUTERS/Elijah Nouvelage

Yahoo CEO Marissa Mayer has a "kill list" for underperforming sections of the business, according to a report from Re/Code.

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Re/Code claims that Mayer plans to kill underperforming projects, which includes some media properties, while maintaining others and investing in mobile search.

Mayer is also going to start layoffs after Yahoo reports its earnings next week, according to the report. The size of the layoffs are unknown, but managers will receive details next week.

Yahoo is currently under intense pressure from shareholders to do something, whether that's sell off its core businesses - for between $6 billion (£4.2 billion) and $8 billion (£5.6 billion) - or cut costs drastically to increase profits.

Many investors consider Mayer, who was brought in to turn the company around, a failure after the company has not increased its revenues, profits, or competitive businesses since she took over in 2012.

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Yahoo has reportedly rejected several offers for its core business, which is comprised of an editorial and advertising operation.

The reason the option of selling the core business is attractive to investors is this: Yahoo owns a large percentage of Alibaba, the Chinese e-commerce website, and Yahoo Japan, which are worth more than Yahoo's core businesses.

"It is time for [Mayer] to listen to people who will help her see that she is in a really tight spot and that she has been tone deaf to that in so many ways," an anonymous PR executive told Re/Code.

Business Insider has reached out to Yahoo for comment.

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