Motorola plans another round of layoffs

From CNET Motorola announced Wednesday that it plans to cut another 4,000 jobs, or about 6 percent of its workforce, and warned that weaker-than-expected handset sales would lead to a fourth-quarter loss.

Motorola said 3,000 jobs would be eliminated from its handset unit, while another 1,000 jobs would be cut from the rest of the company. The cuts announced Wednesday are in addition to 3,000 job cuts Motorola announced in October as part of a broader restructuring that also halted the launch of many upcoming phones.

"The actions we are taking today in our Mobile Devices business will allow us to further reduce our cost structure and positions us for improved financial performance in 2009," Sanjay Jha, co-chief executive officer of Motorola, said in a statement. "Together with these actions and the announcements made in the fourth quarter, the Mobile Devices business expects to recognize annual cost savings of approximately $1.2 billion in 2009."

"Additionally, we are making good progress in developing important new smart phones for 2009 and are pleased with the positive response from our customers to these new devices," he said.

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