Internet trader Amazon.com yesterday announced plans to eliminate 150 jobs, or 2 per cent of its workforce, but promised to continue its growth strategy.

"We regularly review our organisation," said spokesman Mr William Curry of the first job cuts in the company's five-year history.

"Our strategy has not changed one iota. You can expect to see us continue to grow, continue to hire and continue our current strategy."

Amazon.com, which began as an online bookseller but now offers such items as CDs, video discs, toys, cosmetics, electronic devices and sports goods, currently employs 7,500 people, a total that has risen by 50 per cent since September.

The company, which runs a chronic deficit, said in early January that fourth-quarter 1999 sales of $650 million (€666 million) surpassed its 1998 full-year results.

But Amazon warned that its expected losses in the quarter were unlikely to shrink, due to higher inventory costs.

Market analysts foresee a loss of 48 cents a share in the fourth quarter, compared to seven cents a year earlier.