Sanyo to Exit From DVD players, Focuses on HD DVD
Japanese electronics maker Sanyo Electric said on Wednesday it would complete two-thirds of planned job cuts by January 2006.
Under its original plan released in July, Japan's third-largest consumer electronics
firm planned to cut 14,000 jobs, or about 15 percent of its global work force, as part of a
three-year restructuring plan through March 2008. Sanyo also plans to sell the company's Tokyo office building along with 68 sales offices throughout the country and other real estate. In addition, Sanyo will also sell or speed up the sale of four factories.
Under its original plan released in July, Japan's third-largest consumer electronics firm planned to cut 14,000 jobs, or about 15 percent of its global work force, as part of a three-year restructuring plan through March 2008. Sanyo also plans to sell the company's Tokyo office building along with 68 sales offices throughout the country and other real estate. In addition, Sanyo will also sell or speed up the sale of four factories.
The Osaka-based company now expects a net loss of 140 billion yen, or $1.24 billion, in the year through March 2006, worse than the 92 billion yen ($814 million) loss it had previously forecast, after a 6.8-magnitude earthquake that struck its semiconductor plant in northern Japan last October.
While speeding up the job cuts, Sanyo said it would also exit its non-profitable DVD player, DVD recorder and VCR businesses. Sanyo will focus on the development and promotion of the HD DVD technology, although it also plans to manufacture mechanical parts for future Blu-Ray hardware.
Under its original plan released in July, Japan's third-largest consumer electronics firm planned to cut 14,000 jobs, or about 15 percent of its global work force, as part of a three-year restructuring plan through March 2008. Sanyo also plans to sell the company's Tokyo office building along with 68 sales offices throughout the country and other real estate. In addition, Sanyo will also sell or speed up the sale of four factories.
The Osaka-based company now expects a net loss of 140 billion yen, or $1.24 billion, in the year through March 2006, worse than the 92 billion yen ($814 million) loss it had previously forecast, after a 6.8-magnitude earthquake that struck its semiconductor plant in northern Japan last October.
While speeding up the job cuts, Sanyo said it would also exit its non-profitable DVD player, DVD recorder and VCR businesses. Sanyo will focus on the development and promotion of the HD DVD technology, although it also plans to manufacture mechanical parts for future Blu-Ray hardware.