NEW YORK (CNN/Money) - America Online began layoffs Tuesday in a round of job cuts that is expected to reach into the hundreds by the end of the week, sources inside the company told CNN/Money.

Many of the cuts were expected to take place at AOL's Netscape unit. Sources there said multiple conference rooms at Netscape's Mountainview, Calif., headquarters were booked by the company's human resources department for Wednesday, to be used for handing out layoff notices.

A small number of layoffs Tuesday took place at AOL's Dulles, Va., headquarters, according to sources there. A company spokesman declined to comment.

Layoffs have been expected and are likely to continue in the months ahead. Last week, newly appointed AOL Chief Executive Jonathan Miller told analysts and investors the struggling Internet service will try to cut more than $100 million in operating costs.

Since then, press reports have suggested that the layoffs could also include jobs in New York and Ohio.

AOL Time Warner (AOL: Research, Estimates) is the corporate parent of both AOL and CNN/Money.

In an interview with CNNfn earlier Tuesday, AOL Time Warner CEO Richard Parsons did not rule out the possibility of layoffs, but he declined to elaborate. "If there were, this wouldn't be the venue or the place that I would choose to make that announcement," he said.