At just $53.4 million, Yahoo!’s third quarter results are a far cry from last year’s $151 million. As a result of the 64% decrease, the once-mighty search giant is cutting 10% of its workforce.  As of June 30, Yahoo’s employee count was over 14,000.

Jerry Yang, Yahoo! co-founder and CEO cited economic concerns as the primary reason for loss, but remained optimistic about their future. “As economic conditions and online advertising softened in the third quarter, we remained highly focused on our 2008 strategy to invest in initiatives that enhance not only our long term competitiveness, but also our ability to deliver for users and advertisers in this more difficult climate,” he said.