Motorola announced that it will post a net pretax charge of $101 million for Q2 because of previously announced job cuts. In May Motorola announced a reduction in 3,500 jobs, to be completed by June 30. Later in the month, Motorola announced additional cuts of about 4,000 jobs [1].
Earlier this week RBC Capital commented that Motorola's second quarter would be a wash [2] since Motorola only sold 40 million units, instead of the expected 46 million units, according to the firm. During the same quarter last year, Motorola reported net income of $1.38 billion, which included gains of $5 million from the sale of investments and business.
For more on Motorola's $101 million charge:
- read this blurb [3] from the WSJ
Links:
[1] http://www.fiercewireless.com/story/motorola-to-cut-another-4000-jobs/2007-05-31
[2] http://www.fiercewireless.com/story/analyst-motorolas-q2-will-see-revenue-cut/2007-07-03
[3] http://online.wsj.com/article/SB118368143204858666.html?mod=telecommunications_primary_hs