The CEO of REI announced the company will lay off hundreds of workers once again.

REI CEO Eric Artz said in a letter Thursday that the company will reduce its workforce by 357 people, including 200 people at headquarters, six in sales and customer service, 30 in experiences and 121 in its distribution centers.

Artz said the layoffs were “primarily driven by financial necessity.” Every employee losing their job will receive separation benefits, including severance, COBRA and outplacement support and services, according to Artz.

“As you know, the state of the business — and our industry — has become increasingly challenging and highly promotional,” Artz wrote in his letter.