Thursday, January 21, 2010

ST-Ericsson Posts Loss in Q4 2009

ST-Ericsson reported Q4 2009 net sales of $740 million and a net loss of $125 million.

The company said its $230 million savings restructuring plan, which was first announced on April 29 2009 and due to be completed by the second quarter of 2010, is currently in progress and its effects in the fourth quarter 2009 have been in line with plans. ST-Ericsson noted that visibility in the medium term is somewhat limited.

President and CEO, Gilles Delfassy, commented: "2009 has been a challenging year for our industry. For ST-Ericsson, the challenge was especially great. We had to strive to maintain our positioning, while also setting the foundations for sustainable and profitable growth. We will achieve this by rapidly integrating the businesses we have merged and by transitioning to the new portfolio strategy we devised for our next generation offering. During its first year, the company has made good progress in all areas, but more still needs to be done."