Alliance Atlantis is cutting 33 jobs from its production arm and relocating its main Los Angeles-based executive to Toronto.

Peter Sussman, CEO of the company's Entertainment Group, who has been in Los Angeles since 1991, will continue to oversee the Los Angeles operation and, according to a release, "manage key relationships there".

The cuts, which represent 4% of Alliance Atlantis' overall workforce, affect positions in Toronto, Los Angeles and Halifax, home of the company's production subsidiary Salter Street Films, which produced Michael Moore's Bowling For Columbine.

Fourteen months ago, Alliance Atlantis cut 80 jobs and consolidated its television and motion picture production operations - the self-same Entertainment Group - as part of the company's stated strategy of reducing production volume while focusing on higher margin fare.

In the statement, Sussman said the new cuts conform to that strategy. "While we have made significant progress against our goals and have improved the Entertainment Group's margin, it is important that we refine and rebalance our staffing levels to match our output."

Alliance Atlantis said the cuts would translate into a one-time cost of approximately $1.35m, to be recorded in its fourth quarter of 2003, and yield annual savings of approximately $3.4m commencing in fiscal 2004.