Japanese electronics maker, Sony, has forecast operating losses of 260 billion yen for the year to the end of March. That's about 2.9 billion US dollars.
It's a record low for the company and also its first loss in 14 years, after earlier loss predictions on a slightly smaller scale.
The electronics giant ascribes its losses to sliding demand, a stronger yen and restructuring at its ailing electronics operations. Sony's US shares fell 9.7 percent on Thursday in premarket trading. The firm is stepping up a major restructuring program and says it will more than double its cost-cutting target to over 2.7 billion dollars by 2010. But some analysts say more drastic action is needed to streamline the sprawling Sony empire that includes semi-conductors, movies and insurance.
(CCTV January 24, 2009)
