Marconi To Axe 3,000 Workers, Warn On Profits - Papers
biz.yahoo.com
( ALA NT CSCO LU MONI)
LONDON (Dow Jones)--U.K. high-tech communications group Marconi PLC (MONI)
is to layoff up to 3,000 workers as the global economic slumps bites into
orders, two Sunday newspapers reported.
The Sunday Business said that Marconi would axe 3,000, one third of which
would be in Britain. The Financial Mail on Sunday said that job losses would
be of the order of up to 3,000 and that Marconi will warn Tuesday that
profits will be hit because of a slowdown in orders and detail the financial
impact of the restructuring.
A spokesman for Marconi declined to comment Sunday, saying only "we are not
commenting on market speculation."
Marconi's results for the year to the end of March are thought to fall
within current broker estimates, The Sunday Business said, but added that
shareholders are worried about prospects for the current financial year
after a series of profit warnings from telecoms equipment manufacturers in
recent weeks. Marconi has so far not commented on the effect on its business
of the telecoms slowdown, although its share price has fallen sharply this
year.
Union representatives are to meet Marconi managers Monday and have vowed to
fight any compulsory redundancies, The Sunday Business said.
Marconi's worldwide workforce totals around 49,000.
-By Catherine Taylor, Dow Jones Newswires; 44-207-842-9295;
catherine.taylor@dowjones.com
(END) DOW JONES NEWS 04-08-01
07:11 AM
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