Intel plans to eliminate 15% of its jobs after turning in another dreary financial report, cuts that will wipe out 15,000 jobs across the company — potentially including thousands in Oregon.

The dismal news is another sign that the company’s expensive turnaround plan isn’t bearing fruit. Intel’s share price plunged 12% in after-hours trading as the company dipped back into the red and warned of more losses ahead.

“Our (second quarter) financial performance was disappointing, even as we hit key product and process technology milestones,” CEO Pat Gelsinger said in a written statement. “Second-half trends are more challenging than we previously expected.”

Intel said it will cut $10 billion from its spending forecast for next year and suspend its shareholder dividend.

The company reported flat sales in the second quarter and forecast an 8% decline in the current quarter. Intel said it will lose more money this summer and will carry out most of its job cuts by the end of the year.

“This is painful news for me to share,” Gelsinger wrote in an email to employees, posted on the company’s website. “I know it will be even more difficult for you to read. This is an incredibly hard day for Intel as we are making some of the most consequential changes in our company’s history.”

Intel is Oregon’s largest corporate employer, with 23,000 workers at its Washington County campus. A 15% cut could eliminate more than 3,000 of those jobs.

Intel’s costs are too high, Gelsinger said, and the company’s sales aren’t meeting forecasts.

“We need bolder actions to address both — particularly given our financial results and outlook for the second half of 2024, which is tougher than previously expected,” Gelsinger wrote.

Intel said it will offer early retirement incentives and buyouts, but the company will surely need thousands of layoffs, too, to cut as many jobs as it plans. Gelsinger said the company’s operations are too complex and that Intel needs to automate and simplify its operations.

“It takes too long for decisions to be made, so we need to eliminate bureaucracy,” Gelsinger said. “And there’s too much inefficiency in the system, so we need to expedite workflows.”