Wednesday, January 14, 2009
The maker of mobile phones Motorola Inc. said Wednesday it will cut another 4,000 jobs, mainly in its mobile business because it anticipates a loss in the fourth quarter and lower than expected sales.
Analysts are already expecting this new round of job elimination from Motorola, which was beaten by a decline in demand for cell phones even before the economic slowdown.
The company, which fell to fourth place in the market for mobile phones during the third quarter, said it expected to report a loss under generally accepted accounting principles GAAP of between 7 and 8 U.S. cents and revenue between 7000 million and 7200 million dollars in the fourth quarter.
Analysts, on average, projected earnings of 7500 million dollars, according to Reuters Estimates.
Motorola said that the 4000 cut jobs and other cost reduction measures, will help save an additional $ 700 million in 2009, bringing the total savings of $ 1500 million, including a plan announced in October.
In that month, the company outlined a plan to cut 3000 jobs, mainly in its mobile devices unit.
Labels: Business