Alcatel-Lucent narrows loss
Alcatel-Lucent continued its string of quarterly losses, but showed improved profit on lower restructuring charges in its third quarter 2008 earnings report, and said it is working to streamline its portfolio of businesses and products.
The company posted a net loss of $51.8 million in the third quarter, much better than losses of $1.7 billion in the second quarter this year and more than $450 million in the third quarter last year.
New CEO Ben Verwaayen, in his first earnings report with the company, said Alca-Lu is under a strategic review to streamline its portfolio. This could result in selling a sizeable stake in defense contractor Thales SA.
Alcatel-Lucent also said the telecom equipment market will continue to be flat. Some analysts believe the company can return to a profit in the fourth quarter, though Verwaayen did not predict this.
- The Wall Street Journal has this report