The announcement caused the company’s stock value to drop.

Video game retailer chain GameStop, which has become a prominent name in the meme investment scene in the last several years, made an announcement this morning that didn’t do their stock values any favors. Specifically, the company announced that its CFO, Michael Recupero, had been fired from his position, and that the company would be undergoing cutback and layoff efforts.

The precise reason for Recupero’s dismissal has not been publicly divulged beyond the fact that it was, according to the terms of his contract, “without cause,” a vague, yet still surprising reveal. Chief Accounting Officer Diana Saadeh-Jajeh has stepped up to take Recupero’s place.

Meanwhile, the company’s CEO, Matt Furlong, sent out an internal memo announcing future layoffs, which was then obtained by various news outlets. GameStop has not publicly commented on this memo at the time of writing.

“After making more than 600 corporate hires in 2021 and the first half of 2022, we have a stronger understanding of our transformation needs,” Furlong’s memo read. As of March, GameStop had approximately 12,000 full-time employees and between 14,000 and 28,000 part-time workers on payroll, with numbers varying around more consumer-heavy seasons like the holidays.

Following this news, GameStop’s stock value dropped by 5%, on the heels of a 15% rise yesterday following the announcement of a stock split. Prior to that jump, GameStop stocks were down by about 21% compared tp this time last year.