Open

Coming up

Don't miss

Replay


LATEST SHOWS

INSIDE THE AMERICAS

Uruguay: freed Guantanamo detainees try to adjust to normal life

Read more

MIDDLE EAST MATTERS

Turkey: Inside the Alevi community

Read more

FOCUS

China: A tense Christmas in Wenzhou

Read more

DEBATE

Pope's Scathing Tidings: Pontiff Blasts 'Illnesses' at Vatican's Heart (part 2)

Read more

DEBATE

Pope's Scathing Tidings: Pontiff Blasts 'Illnesses' at Vatican's Heart

Read more

WEB NEWS

Gaza children draw what their future will look like

Read more

MEDIAWATCH

Catholic cardinals get coal for Christmas from Pope Francis

Read more

IN THE PAPERS

François Hollande's Christmas wish list

Read more

MEDIAWATCH

Embedded with the Islamic State Group

Read more

Business

STMicroelectronics to cut 4,500 jobs

Latest update : 2009-01-28

French-Italian chipmaker STMicroelectronics announced it will cut a tenth of its workforce worldwide because it forecasts a slide in the chip market.

AFP - French-Italian semiconductor maker STMicroelectronics said Wednesday it will cut 4,500 jobs, a tenth of its workforce, and predicted the global chip market will slide by at least 25 percent this year.
  
STMicro, ranked fifth among global chipmakers, registered a loss in 2008 of 786 million dollars (596 million euros) as sales fell 1.6 percent to 9.84 billion dollars.
  
The company said it aimed to achieve savings of 700 million dollars this year through 4,500 job cuts and the closure of three factories in the United States and Morocco that has already been announced.
  
The company said sales fell 17 percent in the final quarter of last year to 2.28 billion dollars and that with the sharp decline in demand, its factories would likely be operating at around 50 percent of their capacity in the first three months of this year.
  
First quarter sales were estimated at 1.50-1.85 billion dollars, down 25-40 percent from a year earlier.
  
STMicro chairman Carlo Bozotti said the decline in the global chip market would likely surpass the 16.3 percent fall foreseen by the Gartner industry research group in mid-December.
  
"I think the drop will be bigger and will be more than 25 percent," Bozotti said during a conference call.

Date created : 2009-01-28

COMMENT(S)