NJ5 on 09 December 2008
Some more details from a bloomberg article:
“As the tougher business environment is ahead of us, the company might suffer from a bigger earnings decline in the second half, or even losses, if it doesn’t take any measures,” said Hiroshi Sato, chief investment officer of Tokyo-based GCSAM Co., who sold his Sony holdings. “I can’t see how the company will regain its charm with consumers.”
The Bravia-brand TV maker said it will “adjust” pricing to cope with the stronger yen, two weeks after saying it didn’t have plans for “massive cuts” in prices in the U.S.
Sony will invest 30 percent less in its electronics business than planned under its mid-term strategy, it said, without giving figures.
The company plans to reduce more jobs by losing temporary workers in electronics, responsible for about two-thirds of sales. It will also cut the number of manufacturing sites by 10 percent by the end of next fiscal year, from 57 currently.
Sony will postpone investment plans at its Nitra plant in Slovakia that assembles liquid-crystal display televisions for the European market. The electronics maker plans to end production at two overseas manufacturing sites, including one in France that produces tape and other recording media.
Sony will postpone investment plans at its Nitra plant in Slovakia that assembles liquid-crystal display televisions for the European market. The electronics maker plans to end production at two overseas manufacturing sites, including one in France that produces tape and other recording media.
The part about adjusting pricing in USA to compensate for the strong yen is especially alarming. Are they going to raise prices like they did in the UK? Samsung must be having an orgasm right now.
My Mario Kart Wii friend code: 2707-1866-0957
