Net Ad Firm Cuts Jobs

Engage Inc., an Internet advertising company whose shares plunged 96% last year, said it will cut 550 jobs--about half its work force--to reduce costs. Engage said it will restructure to focus on designing and selling interactive-media software, consolidate offices and move to improve results at its media business. The Andover, Mass.-based company expects the changes to help it save $120 million to $150 million a year. The cuts will be accomplished by layoffs, job eliminations and attrition. Engage shares rose 6 cents to close at $1.19 on Nasdaq.