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TMCNet: Japan's tech giants announce cuts

[January 31, 2009]

Japan's tech giants announce cuts

(UPI Business News Via Acquire Media NewsEdge) Japan's technology industry leaders say they expect big losses amid the global economic downturn.

Companies including Toshiba, NEC Electronics and Hitachi say they will incur losses in the year to March, the Financial Times reported Saturday.

Hitachi says it would be hit by a $7.8 billion in losses after previously expecting a small profit. The Financial Times noted that the loss would be equal to almost a third of Hitachi's shareholders' equity at the start of 2009.

To help it make ends meet, NEC said it planned to cut 20,000 jobs worldwide. Meanwhile, Hitachi said Friday it was cutting up to 7,000 jobs, BBC reported.



With these measures we will seek to improve our fixed costs in order to convert to a more muscular profit structure, said NEC President Kaoru Yano.

Copyright ? 2009 United Press International

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