NBC Universal preps for $500 million in cuts

NBC Universal announced Friday the conglomerate will reduce spending by half a billion dollars next year. Cuts would equal 3% of the company's budget. Zucker blamed the current economy, arguing that NBC U needed to take precautionary steps despite coming off eight consecutive quarters of growth and profit. NBC U division heads prepare to meet with Zucker to go over their 2009 plans. Each chief will be given their own discretion to decide how to make their 3% cut. In his note, Zucker suggested a variety of ways, focused on three areas: discretionary spending, such as travel and entertainment; promotion expenses; and staffing. He also stressed going through NBC U's sourcing department before making major purchases.