Printed from http://www.electronista.com

Sony hit with first annual loss in 14 years

updated 01:50 pm EDT, Thu May 14, 2009

Sony records rare loss

Sony today reported its first annual loss in some 14 years, according to the New York Times. During its most recent fiscal year, the company is said to have lost 98.9 billion yen; for the fiscal year ending in March 2010, the company is expecting to record a net loss of 120 billion yen, or $1.26 billion US. The company is only expected to avoid a 150 billion yen loss in part because of newly-favorable Japanese taxes.

The downfall is being blamed on a worldwide decline in sales, including within Japan itself. Complicating matters is a strong exchange rate, which while beneficial to imports for Japan, has diminished the worth of Sony's foreign revenue and increased domestic production costs. Sales in the 2009 fiscal year dropped 12.9 percent from the year prior.

The company is taking dramatic measures to restore profitability, including a new plan which will see three Japanese plants close. Sony has already chosen to freeze the wages of Japanese workers, also cutting bonuses by as much as 53 percent or more.



By Electronista Staff
Post tools:

TAGS :

toggle

Comments

Login Here

Not a member of the MacNN forums? Register now for free.

toggle

Network Headlines

Follow us on Facebook

toggle

Most Popular

Advertisement

Recent Reviews

Samsung Galaxy S6 Edge

The Samsung Galaxy S6 range is a critical component in Samsung's flagging smartphone strategy. With sales of its high-end smartphones ...

Notti smart lamp from Witti

Perhaps you've already seen our review of the Dotti LED display from Witti Design. Meet Notti, Dotti's "sibling". Notti is a softball ...

Seagate Personal Cloud (2-Bay)

When it comes to backing up files, many users are now looking to the myriad of cloud storage solutions available. There is no doubt th ...

Advertisement

toggle

Most Commented

 
toggle

Popular News