News of layoffs generally indicates a floundering business, which made reports early this week about job cuts at Amazon all the more confusing.

After all, the retail giant is doing anything but struggling, what with its Whole Foods acquisition, new delivery business, and the search for its second headquarters.

But now, we’ve learned more about the reasoning behind the layoffs, and it appears to be an effort to consolidate Amazon Prime Now and AmazonFresh.

In merging these two units, the company hopes to “eventually streamline a delivery experience for Whole Foods Market,” Yahoo Finance reported.

The layoffs were initially brought to light in a piece by the Seattle Times, and will affect “several hundred employees” at the Seattle headquarters, as well as “hundreds more elsewhere” across Amazon’s global offices.

The news was especially surprising given how lean Amazon already runs its operations, and considering the amount of revenue the company brings in on an annual basis.

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