Sony Corp

Drug Store News,  Oct 10, 2005  

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Sony Corp. last month indicated plans to cut about 10,000 jobs, close 11 plants and shrink or terminate 15 unprofitable operations in a restructuring bid to revive its electronics business.

The turnaround plan, which will reduce Sony's global work force by 6 percent, comes under the new leadership of chief executive officer Howard Stringer, who took over in March.

Also, Sony revised its forecast downward for the fiscal year through March 2006 to a net loss of $90 million, far worse than its initial forecast for a $90 million profit, citing restructuring costs for the latest plan.

Among the streamlining efforts are plans to downsize or quit 15 business categories and reduce the number of models by 20 percent. Sony did not specify which businesses would be trimmed.

Stringer said the plan will cut costs by $1.8 billion by the end of March 2008.

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