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Sprint raids the snack fridge to save money

A Sprint Corp. Store Ahead Of Earnings FiguresA Sprint Corp. Store Ahead Of Earnings Figures
A customer at a Sprint store.Photograph by David Paul Morris — Bloomberg via Getty Images

As it tries to make up for its subscriber losses and eyes a return to profitability, Sprint wants to cut operating expenses by $2.5 billion.

First on the chopping block? The free yogurt and water bottles it was giving to headquarter employees.

Under new CEO Marcelo Claure, the company started offering snacks to employees at its headquarters in Overland Park, Kansas, earlier this year. The perk was going to cost the company about $600,000, and in a recent email Claure said Sprint will eliminate the benefit as it looks to shave costs, according to the Wall Street Journal. The company is also taking aim at travel costs. Executives will be prohibited from hiring a chauffeured limo during business trips and must take an Uber or regular taxi instead.

But that’s not the worst of it.

Sprint isn’t giving raising to company employees this year and their out-of-pocket heath care costs are expected to rise. The company is also laying off an unspecified number of employees, according to The Journal.

Sprint will release its quarterly earnings before the market opens on Tuesday. It’s expected to report $8.1 billion in revenue, a 4% decrease from that same period last year and a loss of 8 cents per share, the Journal says.