Phillips Electronics announces €74million loss
A first quarter loss of €74million could result in Phillips Electronics speeding up its restructuring programme.
Phillips' chief executive, Gerard Kleisterlee (pictured), announced: "In the first quarter of 2009 we have seen significant further deterioration of our markets." Kleisterlee added that he expected no material change to this situation during the second quarter.
The company's first quarter earnings before interest, taxes and amortisation resulted in a €74m loss from a €265m profit last year.
Phillips said it planned to step up cost cutting during the second quarter, particularly in its lighting unit. The company expects this measure to increase annual savings by €100m to €500m by the end of the year. Chief financial officer Pierre Jean Sivignon declined to say whether this would take the form of additional job cuts on top of the previously announced 6000 for 2009.
